Concord Medical Services Holdings Limited ("Concord Medical," or the "Company") (NYSE: CCM), a leading specialty hospital management solution provider and operator of the largest network of radiotherapy and diagnostic imaging centers in China, today announced the signing of a definitive agreement under which it will acquire 19.98% of indirect ownership of The University of Texas MD Anderson Cancer Center Proton Therapy Center (MD Anderson Proton Therapy Center), achieved through acquiring a minority interest in the general partner and facility manager. The purchase price of the all-cash transaction was not disclosed. Concord Medical purchased the interest from the existing owners of the general partner, and the transaction does not affect MD Anderson's ownership in the Proton Therapy Center.
After the acquisition closes, Concord Medical will become the second largest owner of the MD Anderson Proton Therapy Center, behind MD Anderson Cancer Center. Concord Medical will join both the Board of Directors of the PTC-Houston Management, LP, the general partner of the center, and the center's Advisory Committee.
"We're very excited to partner with MD Anderson Proton Therapy Center, one of the leading proton treatment centers in the world," says Dr. Jianyu Yang, CCM Chairman and CEO. "Proton treatment has become a widely accepted method of radiation therapy. Concord Medical plans to build and operate two proton centers in China. This transaction will enable us to gain valuable experience and knowledge of the operations of a proton therapy center from the world leader in proton therapy cancer care."
"MD Anderson welcomes Concord Medical to the partnership," says Dan Fontaine, senior vice president of business affairs for MD Anderson. "The clinical expertise and quality programs provided by our faculty and staff is why our Proton Therapy Center is the leader in the field."
"The MD Anderson Proton Therapy Center welcomes Concord Medical. It brings more than 15 years of experience into the partnership," commented John Styles, Jr., CEO of the center. "We look forward to working closely with the CCM team".
Both the general partner's and Concord Medical's Boards of Directors have approved the agreement, and the transaction is expected to close by the end of 2012, subject to customary closing conditions and approvals.
MD Anderson Proton Therapy Center is an affiliate of MD Anderson. Opened in 2006, it was the fourth proton treatment center in the U.S. Since it's opening, the center has treated more than 4,000 patients, accounting for 15% of the total number of patients who received proton treatment nationally. For nine of the past 11 years, including 2007-2012, MD Anderson has been ranked No. 1 in cancer care in the U.S. News & World Report's "Best Hospitals" survey.
SOURCE Concord Medical Services Holdings Limited