Iasis sets IPO. Iasis Healthcare Corp., Franklin, Tenn., said last week that its underwriters have set its pending initial public offering at 13.35 million shares priced at $14 to $16 per share. On Jan. 22, Iasis had filed to sell up to $201.3 million of stock in an IPO but did not provide details of the offering. The company's filing with the Securities and Exchange Commission suggests the IPO could result in proceeds of $213.6 million and a market capitalization of nearly $725 million. The 15-hospital chain has said it plans to use the proceeds to pay down debt.
Paracelsus hearing postponed again. Paracelsus Healthcare Corp. delayed for the second time a hearing on its bankruptcy reorganization plan because of a whistleblower lawsuit the company learned of in December. The hearing before U.S. Bankruptcy Court in Houston was set for Feb. 9; it has been delayed until March 2. Houston-based Paracelsus said the extension is needed so the bankruptcy court can make its own estimate of the whistleblower's claims before Paracelsus' reorganization hearing. Paracelsus has filed an objection to the whistleblower's claim of $95 million in damages on behalf of the federal government and the state of California for civil Medicare fraud. The system, which has 10 hospitals, entered Chapter 11 bankruptcy protection last September.