KING OF PRUSSIA, PA- Universal Health Services, Inc. (NYSE:UHS) announced today that it has reached a definitive agreement and received FTC approval to purchase Foundations Recovery Network, LLC (“Foundations”) for a purchase price of approximately $350 million. Through this acquisition, we will add 322 residential beds in 4 facilities and 8 outpatient centers. In addition, there are over 140 expansion beds in the pipeline.
Foundations Recovery Network was founded in 1995 and is one of the premier names in addiction treatment. Their focus is on treating adults with co-occurring addiction and mental health disorders through an evidence-based integrated treatment model in residential and outpatient settings. With their sophisticated direct to consumer marketing model which includes a call center, a national sales team and an industry leading web marketing program, the acquisition of Foundations will serve as a platform for growth in a new substance use disorder service line for UHS.
Alan B. Miller, CEO and Chairman of the Board of Universal Health Services, Inc. said, “We are pleased to announce the acquisition of Foundations. We were attracted to their proven track record of providing high quality treatment and reputation for excellence in this very attractive market segment. They bring expertise as a published authority on integrated treatment and also have excellent clinical programs and customer relationships.”
Joby Pritzker, spokesperson for the Pritzker family, the majority shareholder of Foundations, said “UHS is a company which we trust to further our commitment to the treatment of addiction, which is at epidemic levels in our country”. “Demand for evidence-based, high quality substance-use disorders is driving the immediate need for additional services nationwide. With access to UHS’s broad market presence, we hope to ramp our pace of growth exponentially” said Rob Waggener, CEO of Foundations.
We expect to complete this transaction within the coming weeks.
Universal Health Services, Inc. is one of the nation’s largest hospital companies, operating, through its subsidiaries, behavioral health facilities, acute care hospitals, and ambulatory centers throughout the United States, Puerto Rico, the United Kingdom and the U.S. Virgin Islands.
Certain statements in this release may constitute forward-looking statements and are subject to various risks and uncertainties as discussed in the Company’s filing with the Securities and Exchange Commission. The Company is not obligated to update these forward-looking statements even if the Company’s assessment of these risks and uncertainties changes.
For additional information on the Company, visit our website; http://www.uhsinc.com.