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Exhibit 99.1
[IASIS
HEALTHCARE
LOGO]
CONTACTS:
FOR IASIS HEALTHCARE (MEDIA CONTACT): FOR TEXAS PACIFIC GROUP: FOR JLL PARTNERS:
Tomi Galin Owen Blicksilver Steven Lipin/Lekha Rao
Vice President, Corporate Communications Owen Blicksilver PR, Inc. 212-333-3810
615-467-1255 516-742-5950
FOR IASIS HEALTHCARE (INVESTOR CONTACT):
W. Carl Whitmer
Chief Financial Officer
615-844-2747
INVESTORS LED BY TEXAS PACIFIC GROUP TO
ACQUIRE IASIS HEALTHCARE CORPORATION
FRANKLIN, Tennessee (May 5, 2004) -- IASIS Healthcare(R) Corporation today
announced that it has entered into a definitive agreement with an investor group
led by Texas Pacific Group (TPG), a private equity firm, under which TPG will
acquire IASIS Healthcare in a transaction valued at approximately $1.4 billion.
IASIS, which was formed by JLL Partners and other investors in 1999, owns and
operates acute care hospitals and other healthcare facilities in high-growth
urban and suburban markets. The transaction is subject to regulatory approvals,
financing and other customary closing conditions and is expected to close by
June 30, 2004.
In connection with the transaction, an affiliate of JLL Partners, management and
certain other current investors in IASIS will make significant new investments
in the Company as part of the TPG-led group.
"IASIS is an exceptionally well-run hospital company that has experienced
consistent, strong growth while delivering high quality patient care," said
Jonathan Coslet, partner, TPG. "The Company's facilities are well positioned in
some of the nation's most attractive urban and suburban markets. We look forward
to working with Chairman and Chief Executive Officer David White and his team in
serving these communities and in continuing to build upon the strong foundation
that is in place at IASIS."
"IASIS has experienced strong results since we formed the Company," said Jeffrey
Lightcap, Senior Managing Director, JLL Partners. "We believe in the Company's
continued success and, as a result, are making a significant new investment in
IASIS and plan to remain an active stockholder."
IASIS Healthcare Chairman, President and Chief Executive Officer David White
said, "We are proud of our accomplishments and the way we have established IASIS
as a dynamic healthcare organization with proven strategies for delivering high
quality care and solid operating results. We are excited by the opportunity to
continue our success under TPG's stewardship and to improve our access to
capital, which will enable us to continue investing in our existing hospitals
and to selectively pursue acquisitions consistent with our long-term goals for
growth. We are also pleased that JLL Partners continues to show its confidence
in IASIS by remaining a significant investor in the Company."
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Lehman Brothers Inc. and Merrill Lynch & Co. are advising TPG in connection with
the transaction. Goldman, Sachs & Co. and Banc of America Securities LLC are
advising the Company.
In connection with the transaction, IASIS will commence a tender offer and
consent solicitation relating to all of its 13% Senior Subordinated Notes due
2009 ($230 million principal amount) and 8 1/2% Senior Subordinated Notes due
2009 ($100 million principal amount). Details with respect to this tender offer
and consent solicitation will be set forth in tender offer documents, which will
be furnished shortly to holders of the Notes.
ABOUT TEXAS PACIFIC GROUP
Texas Pacific Group, founded in 1993 and based in Fort Worth, TX, San Francisco,
CA, and London, is a private investment partnership managing over $13 billion in
assets. TPG seeks to invest in world-class franchises across a range of
industries, including significant investments in healthcare companies (Oxford
Health Plans, Quintiles Transnational), leading retailers (Petco, J.Crew,
Debenhams - UK), branded consumer franchises (Burger King, Del Monte, Ducati),
technology companies (ON Semiconductor, MEMC, Seagate), and airlines
(Continental, America West).
ABOUT JLL PARTNERS
Established in 1988, JLL Partners is a private equity firm focused on partnering
with exceptional management teams to create equity value by improving and
growing fundamentally good companies with strong business franchises. The firm
has invested approximately $2 billion in 15 core portfolio companies, which in
turn have made more than 50 strategic add-on acquisitions subsequent to JLL's
investment.
ABOUT IASIS HEALTHCARE(R) CORPORATION
IASIS Healthcare(R) Corporation, located in Franklin, Tennessee, is a leading
owner and operator of medium-sized acute care hospitals in high-growth urban and
suburban markets. The Company operates its hospitals with a strong community
focus by offering and developing healthcare services to meet the needs of the
markets it serves, promoting strong relationships with physicians and working
with local managed care plans. IASIS Healthcare(R) owns or leases 15 acute care
hospitals with a total of 2,257 beds in service, and has total annual revenues
of approximately $1.2 billion. These hospitals are located in five regions: Salt
Lake City, UT; Phoenix, AZ; Las Vegas, NV; Tampa-St. Petersburg, FL; and four
cities in Texas, including San Antonio. IASIS Healthcare(R) also owns and
operates a behavioral health center in Phoenix and has an ownership interest in
three ambulatory surgery centers. In addition, the Company owns and operates a
Medicaid managed health plan in Phoenix that serves over 92,000 members. For
more information on IASIS Healthcare(R) Corporation, please visit the Company's
website at www.iasishealthcare.com.
This press release contains statements regarding beliefs and expectations of the
outcome of future events that are forward-looking statements as defined within
the meaning of the Private Securities Litigation Reform Act of 1995. These
forward-looking statements are subject to risks and uncertainties that could
cause actual results to differ materially from the statements made. Factors that
could cause results to differ are described in filings made from time to time by
IASIS with the Securities and Exchange Commission. IASIS takes no responsibility
for updating the information contained in this press release following the date
hereof to reflect events or circumstances occurring after the date hereof or the
occurrence of unanticipated events.
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