TeamStaff, a Somerset, N.J.-based healthcare staffing company, furthered its strategy of refocusing its business on federal government contract work with the sale of its travel nursing and allied staffing subsidiary, TeamStaff Rx.
TeamStaff sells nursing subsidiary
TeamStaff Rx, a business unit based in Clearwater, Fla., was sold to Advantage RN, Cincinnati, for an undisclosed sum. The deal is expected to close Jan. 4, although employees who will lose their jobs as a result of the sale were notified of their status Monday, a company spokesman said.
The sale comes as the company struggles to maintain its standing in the equities markets. The company was notified by Nasdaq officials on Dec. 17 that its stock was not maintaining enough value to qualify for listing on the Nasdaq Capital Market, and it has 180 days to avoid delisting by increasing the closing bid price of the stock to at least $1 per share for 10 consecutive days.
That news came two months after the company announced it was transferring from the Nasdaq Global Market because of a similar failure to maintain share values there. President and CEO Rick Filippelli has agreed to resign from the company in January 2010 as part of a transition to a new business model focused on contracts with the U.S. General Services Administration and the Veterans Affairs Department.
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