Nobilis Health entered into a definitive agreement to acquire Arizona Vein & Vascular Center.
Here are six things to know:
1. The acquisition includes Arizona Vein & Vascular Center as well as its four surgery centers operating as The Arizona Center for Minimally Invasive Surgery. The centers provide vascular care, radiology, podiatry and general surgery.
2. The centers are located in Phoenix and Tucson metropolitan areas.
3. The acquisition expands Nobilis’ presence in both markets to increase its multispecialty offering with a new vascular surgical division. L. Philipp Wall, MD, founded the centers and will join Nobilis as the president of the Nobilis Vascular Division.
4. Nobilis acquired the center at $22 million plus a performance-based earn-out based on growth adjusted EBITDA. The purchase price is comprised of $17.5 million of cash and $2.25 million in a convertible note and $2.25 million of restricted stock.
5. Last year, AVVC and ACMIS produced $20 million in revenue and $6 million in adjusted EBITDA. The transaction is expected to be accretive to 2016 earnings per share. Nobilis expects to drive additional volume into these clinics and multispecialty surgical centers with its proprietary marketing and sales capabilities.
6. Nobilis plans to expand AVVC and ACMIS service lines to its facilities in Houston and Dallas markets when the transaction closes.