Iasis Healthcare Corp., a for-profit operator of acute-care hospitals, outpatient facilities and managed-care plans, intends to go public to get itself out of the red.
The Franklin-Tenn.-based company, which is owned by a private investor group led by investment firms TPG Global, JLL Partners and Trimaran Capital Partners, registered for an initial public offering with the U.S. Securities and Exchange Commission on Monday. TPG, according to the SEC filing, intends to retain a majority stake. The company did not disclose how many shares would be offered or estimate a price range for the shares.
The company said in a news release that it intends to use proceeds from the IPO to pay debt and for working capital and general purposes. A spokeswoman declined to comment on the plans, citing the SEC's requirement for a quiet period before a stock offering.
Iasis operates 15 acute-care hospitals and various other facilities in Arizona, Colorado, Louisiana, Texas and Utah, and has managed-care plans in Arizona, Florida and Utah. It reported a $2.4 million loss on $2.5 billion in revenue for its 2014 fiscal year.
Despite the loss for the year, Iasis reported $5.2 million in income in the fourth quarter compared with a $3.6 million loss during the same period the year before. The company attributed the turnaround to the improving economy, rising employment in its markets and a better payer and service-line mix.
Hoping to focus on its core markets, Iasis left the Las Vegas market in November, selling its 177-bed North Vista Hospital in North Las Vegas to Ontario, Calif.-based Prime Healthcare Services. It also sold three Florida hospitals to HCA in 2013, and has been pumping money into Health Choice, its managed-care business.
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