Meditrust closed more than $126 million in real estate investments in the second quarter ended June 30. The transactions included a $5.9 million sale and leaseback of an Ohio long-term-care facility; $7.6 million in additional financing for 11 long-term-care facilities, two retirement facilities and a rehabilitation hospital in six states; and $5.1 million in funding for existing development projects. The Needham Heights, Mass.-based real estate investment trust also provided $107.8 million for the construction and financing of four long-term-care facilities in Florida, Massachusetts and Pennsylvania and two medical office buildings in Florida. Meditrust ended the quarter with a 63% increase in net income to $30.9 million, or 63 cents per share, compared with $19 million, or 56 cents per share, in the year-ago period. Revenues rose 24% to $52.4 million. For the six months, the REIT's net income increased 50% to $55.1 million, or $1.23 per share, from $36.7 million, or $1.09 per share. Revenues increased 22% to $101.4 million.
Nellcor has received notice that the Federal Trade Commission won't interfere with its acquisition of another devicemaker, Puritan-Bennett Corp. It plans to complete the acquisition in early September. Neither company has scheduled a meeting of its shareholders, who must approve the deal. Nellcor plans to acquire Puritan-Bennett in a stock swap valued at $475 million (May 29, p. 21). The Pleasanton, Calif.-based company makes devices to monitor blood oxygen. Puritan-Bennett, based in Overland Park, Kan., is a large manufacturer of ventilators and oxygen systems, which complement Nellcor's business.
Specialty Healthcare Management, a privately held contract management firm in Englewood, Colo., has signed two new management contracts and expanded two existing contracts. In June, the company opened a 10-bed geriatric psychiatric unit at Trace Regional Hospital in Houston, Miss. It has a four-year contract there. In December, it will open a 12-bed physical medicine and rehabilitation unit at Berger Hospital in Circleville, Ohio, where it has entered a six-year contract. The company also added partial hospitalization programs at Los Alamitos (Calif.) Medical Center and Doctors Hospital of Dallas.