ApolloMed And Network Medical Management Announce Completion Of Merger And Listing On The Nasdaq Capital Market
MERGER CREATES ONE OF THE LARGEST POPULATION HEALTH MANAGEMENT PLATFORMS IN THE U.S.
GLENDALE, Calif., Dec. 11, 2017 /PRNewswire/ -- Apollo Medical Holdings, Inc. ("ApolloMed" or "the Company") (NASDAQ: AMEH), an integrated population health management company, and Network Medical Management, Inc. ("NMM"), one of the largest Management Services Organizations ("MSOs") in the United States, today announced the successful completion of their merger. The newly combined company, which will continue as Apollo Medical Holdings, brings together two leading, complementary healthcare organizations to form one of the nation's largest population health management companies, and will coordinate the care and provide medical management for over 700,000 patients in California through a network of over 4000 contracted physicians and over 400 employees.
Additionally, ApolloMed's shares of common stock were approved for listing on The Nasdaq Capital Market ("NASDAQ"). The Company's common stock began trading on NASDAQ on December 8, 2017 under the ticker symbol "AMEH". ApolloMed's management team will ring the closing bell at the NASDAQ MarketSite in Times Square in New York City today at 4pm Eastern Time.
On an unaudited pro forma basis, the newly combined company would have had revenues of $125.7 million for the three months ended June 30, 2017 and would have had positive operating and net income.
The Company's data-enabled clinical platform provides care for patients whether they are in the hospital, in a skilled nursing facility or at home, and also includes end-of-life care through its hospice/palliative care program and high-risk medical management program for patients with multiple chronic illnesses. Its MSO platform will be able to provide the full suite of solutions for physicians, independent physician associations ("IPAs"), medical groups, managed care organizations, hospitals and accountable care organizations ("ACOs"), including claims processing/adjudication, credentialing, contracting, and data collection, analysis and reporting. ApolloMed's proprietary cloud and mobile-based population health management platform, Apollo Care Connect, includes evidence-based digital care plans for patients with chronic illnesses, a personal health assistant that allows patients to view their health data and to interact real-time with their physician and care managers, an inpatient dashboard, and a care management module, and has the ability to extract clinical and claims data from multiple EHR and claims systems.
ApolloMed will be led by Warren Hosseinion, M.D. and Thomas Lam, M.D. as Co-Chief Executive Officers, Kenneth Sim, M.D. as Executive Chairman, Gary Augusta as President, Mihir Shah as Chief Financial Officer, and Hing Ang as Chief Operating Officer. Adrian Vazquez, M.D. and Albert Young, M.D. will be Co-Chief Medical Officers.
The Board of Directors will consist of nine directors: five appointees (including three independent directors) from NMM and four appointees (including two independent directors) from ApolloMed. The NMM appointees are Thomas Lam, M.D., Kenneth Sim, M.D., Li Yu, Mitchell Kitayama and Michael Eng. The ApolloMed appointees are Warren Hosseinion, M.D., Gary Augusta, Dave Schmidt and Mark Fawcett.
"We are very pleased to announce the completion of our merger with Network Medical Management to create one of the leading population health management companies in the nation," stated Warren Hosseinion, M.D., Co-Chief Executive Officer of Apollo Medical Holdings. "Our technology-enabled platform allows us to provide a comprehensive suite of solutions for physicians, hospitals, managed care organizations and accountable care organizations. We see tremendous growth opportunities ahead."
"Our two organizations complement each other and we believe this will allow us to advance our integrated care delivery model," stated Thomas Lam, M.D., Co-Chief Executive Officer of Apollo Medical Holdings. "We believe the combination of the resources of our two organizations is unique, and we are really excited about the future."
"Both of our organizations have a history of providing high-quality, coordinated care that is cost effective and focused on outcomes," stated Kenneth Sim, M.D., Executive Chairman of Apollo Medical Holdings. "Through this combination, we aim to become the industry leader in the transition of U.S. healthcare to value-based reimbursements."
"We would like to thank our existing shareholders and welcome our new shareholders," stated Gary Augusta, President of Apollo Medical Holdings. "This merger, along with our listing on NASDAQ, are important milestones as we continue to build shareholder value."
BofA Merrill Lynch acted as exclusive financial advisor to ApolloMed. McDermott Will & Emery served as legal counsel to ApolloMed. Vantage Point Advisors acted as exclusive financial advisor to Network Medical Management and the Law Offices of Tin Kin Lee served as NMM's legal counsel.
About Apollo Medical Holdings, Inc. (ApolloMed)
ApolloMed is a leading physician-centric integrated population health management company working to provide coordinated, outcomes-based high-quality medical care for patients, particularly senior patients and patients with multiple chronic conditions, in a cost-effective manner. Led by a management team with over two decades of experience, ApolloMed is addressing the healthcare needs of its patients by leveraging its integrated health management and healthcare delivery platform that includes: Network Medical Management (MSO), Apollo Medical Management (MSO), ApolloMed Hospitalists, APA ACO (Next Generation ACO), ApolloMed ACO (MSSP Accountable Care Organization), Allied Physicians of California (IPA), Maverick Medical Group (IPA), Apollo Care Connect (Digital Population Health Management Platform) and ApolloMed Palliative Services (Hospice/Palliative Care and Home Health Care). ApolloMed strives to improve medical outcomes with high-quality, cost-efficient care. For more information, please visit www.apollomed.net
Forward Looking Statements
This press release may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, based on numerous assumptions and subject to risks and uncertainties (some of which are beyond our control), including statements about management's view of future expectations, plans and prospects for Apollo Medical Holdings, Inc. ("the Company"). In particular, when used in such statements, the words "predicts," "believes," "expects," "intends," "seeks," "estimates," "plans," and "anticipates," and similar conditional expressions or future or conditional verbs such as "will," "may," "might," "should," "would" and "could" are intended to identify forward-looking statements. In addition, our representatives may from time to time make oral forward-looking statements. Any such statements, other than those of historical fact, about an action, event or development, are forward-looking statements. Such statements are based on the current expectations and certain assumptions of the Company's management, and some or all of such expectations and assumptions may not materialize or may vary significantly from actual results. Such statements are, therefore, subject to a variety of known and unknown risks, uncertainties and other factors, many of which are beyond the control of the Company, which could cause the actual results, performance or achievements of the Company, and its subsidiaries and concepts to be materially different than those that may be expressed or implied in such statements or anticipated on the basis of historical trends. Risks and uncertainties for the company include, but are not limited to: risks related to the Company's ability to raise capital; ability to retain key individuals, the impact of rigorous competition in the healthcare industry generally; the fluctuations in the market value of our common stock; the impact on the Company's business, if any, as a result of changes in the way market share is measured by third parties; the Company's dependence on a few key payors; whether or not the Company receives an "all or nothing" annual payment from the CMS in connection with our participation in the Medicare Shared Savings Program (the "MSSP"); the success of the Company's focus on next generation accountable care organization ("NGACO"), including whether the Company can continue to participate in the All-Inclusive Population-Based Payment ("AIPBP") Mechanism of the NGACO Model; changes in federal and state programs and policies regarding medical reimbursements and capitated payments for health services; the overall success of the Company's acquisition strategy in locating and acquiring new businesses; any adverse development in general market, business, economic, labor, regulatory and political conditions; changing rules and regulations regarding reimbursements for medical services from private insurance; any outbreak or escalation of acts of terrorism or natural disasters; changing government programs; industry-wide market factors, laws, regulations and other developments affecting the Company's industry; general economic uncertainty; the impact of any potential future impairment of the Company's assets; risks related to changes in accounting literature or accounting interpretations; the impact, including additional costs, of mandates and other obligations that may be imposed upon us as a result of new or revised federal and state healthcare laws; and risks related to the Company's ability to successfully integrate its operations with those of NMM. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, the Company's actual results, performance or achievements may vary materially from those described in the relevant forward-looking statement as being expected, anticipated, intended, planned, believed, sought, estimated or projected. Unknown or unpredictable factors also could have material adverse effects on the Company's future results. Any forward-looking statements included herein are made only as of the date hereof. The Company cannot guarantee future results, levels of activity, performance or achievements. Finally, the Company undertakes no obligation to update or revise any forward-looking statement to reflect the impact of circumstances or events that arise after the date the forward-looking statement was made, except as required by law, and also undertakes no obligation to update or correct information prepared by third parties that are not paid for by the Company. You should not place undue reliance on any forward-looking statement and should consider the uncertainties and risks discussed under Item 1A. "Risk Factors" of the Company's Annual Report on Form 10-K for the fiscal year ended March 31, 2017, the Company's Registration Statement on Form S-4 related to the ApolloMed/NMM merger and in any of the Company's other subsequent Securities and Exchange Commission filings. We further do not accept any responsibility for any projections or reports published by analysts, investors or other third parties.
For More Information, PLEASE CONTACT:
Apollo Medical Holdings
SOURCE Apollo Medical Holdings, Inc.
Released December 11, 2017