American Shared Hospital Services Announces Official Notice of Certificate of Need Approval to Acquire the Technology to Construct and Operate a Proton Beam Radiation Therapy Facility in the State of Rhode Island
American Shared Hospital Services (NYSE American: AMS) has received Certificate of Need (CON) approval to construct and operate a Proton Beam Radiation Treatment (PBRT) facility in Johnston, Rhode Island through its subsidiary. The facility is expected to be operational in 36-39 months, providing local access to proton therapy for Rhode Island residents who currently must travel to Boston or New York for treatment.
This development adds to AMS's existing portfolio in Rhode Island, where it holds 60% majority ownership in three photon radiation therapy facilities. The company also received a CON in April 2024 for radiation therapy services in Rhode Island's East Bay area. The PBRT facility will be the third such system in the Northeast, strategically located between New York City and Boston facilities.
American Shared Hospital Services (NYSE American: AMS) ha ricevuto l'approvazione del Certificato di Necessità (CON) per costruire e gestire una struttura di Trattamento con Radiazione a Fasci Protonici (PBRT) a Johnston, Rhode Island, attraverso la sua controllata. Si prevede che la struttura diventi operativa in 36-39 mesi, offrendo accesso locale alla terapia protonica per i residenti del Rhode Island, che attualmente devono viaggiare a Boston o New York per ricevere trattamento.
Questo sviluppo si aggiunge al portafoglio esistente di AMS nel Rhode Island, dove detiene una partecipazione di maggioranza del 60% in tre strutture di terapia radiante a fotoni. L'azienda ha anche ricevuto un CON nell'aprile 2024 per servizi di terapia radiante nell'area di East Bay del Rhode Island. La struttura PBRT sarà il terzo sistema di questo tipo nel Nordest, strategicamente situata tra le strutture di New York City e Boston.
American Shared Hospital Services (NYSE American: AMS) ha recibido la aprobación del Certificado de Necesidad (CON) para construir y operar una instalación de Tratamiento de Radiación de Haz Protónico (PBRT) en Johnston, Rhode Island, a través de su filial. Se espera que la instalación esté operativa en 36-39 meses, proporcionando acceso local a la terapia de protones para los residentes de Rhode Island, quienes actualmente deben viajar a Boston o Nueva York para recibir tratamiento.
Este desarrollo se suma a la cartera existente de AMS en Rhode Island, donde posee el 60% de la propiedad mayoritaria en tres instalaciones de terapia de radiación de fotones. La compañía también recibió un CON en abril de 2024 para servicios de terapia de radiación en el área de East Bay de Rhode Island. La instalación PBRT será el tercer sistema de este tipo en el noreste, estratégicamente ubicada entre las instalaciones de la ciudad de Nueva York y Boston.
American Shared Hospital Services (NYSE American: AMS)는 로드아일랜드 존스턴에 프로톤 빔 방사선 치료(PBRT) 시설을 건설하고 운영하기 위한 필요 인증서(CON) 승인을 받았습니다. 이 시설은 36-39개월 이내에 가동될 예정이며, 현재 치료를 받기 위해 보스턴이나 뉴욕으로 이동해야 하는 로드아일랜드 주민들에게 지역 내 프로톤 요법 접근을 제공합니다.
이 개발은 AMS가 로드아일랜드에서 보유하고 있는 포트폴리오에 추가되며, AMS는 세 개의 포톤 방사선 치료 시설에서 60%의 다수 보유 지분을 보유하고 있습니다. 또한, 회사는 2024년 4월 로드아일랜드의 이스트 베이 지역에서 방사선 치료 서비스에 대한 CON을 받았습니다. PBRT 시설은 북동부에서 두 번째로 위치하며, 뉴욕시와 보스턴 시설 사이에 전략적으로 위치합니다.
American Shared Hospital Services (NYSE American: AMS) a reçu l'approbation du Certificat de Nécessité (CON) pour construire et exploiter une installation de Traitement par Radiation à Faisceau Protonique (PBRT) à Johnston, Rhode Island, par le biais de sa filiale. On s'attend à ce que l'installation soit opérationnelle dans 36-39 mois, offrant un accès local à la thérapie par protons pour les résidents du Rhode Island, qui doivent actuellement se rendre à Boston ou à New York pour se faire traiter.
Ce développement s'ajoute au portfolio existant d'AMS dans le Rhode Island, où il détient 60 % de la propriété majoritaire de trois installations de thérapie par radiation à photons. L'entreprise a également reçu un CON en avril 2024 pour des services de thérapie par radiation dans la région d'East Bay du Rhode Island. L'installation PBRT sera le troisième système de ce type dans le Nord-Est, stratégiquement situé entre les installations de New York et de Boston.
American Shared Hospital Services (NYSE American: AMS) hat die Genehmigung für ein Certificate of Need (CON) erhalten, um eine Protonenstrahltherapie (PBRT) Einrichtung in Johnston, Rhode Island, über ihre Tochtergesellschaft zu bauen und zu betreiben. Die Einrichtung wird voraussichtlich in 36-39 Monaten betriebsbereit sein und den Bewohnern von Rhode Island, die derzeit nach Boston oder New York reisen müssen, einen lokalen Zugang zur Protonentherapie bieten.
Diese Entwicklung ergänzt das bestehende Portfolio von AMS in Rhode Island, wo das Unternehmen eine Mehrheitsbeteiligung von 60 % an drei Photonstrahltherapie-Einrichtungen hält. Das Unternehmen erhielt zudem im April 2024 ein CON für Strahlentherapie-Dienstleistungen im East Bay-Gebiet von Rhode Island. Die PBRT-Anlage wird das dritte System seiner Art im Nordosten sein und strategisch zwischen den Einrichtungen in New York City und Boston gelegen sein.
- Received CON approval for new PBRT facility construction in Rhode Island
- Strategic location between NYC and Boston markets
- Expands existing presence in Rhode Island where AMS holds 60% ownership in three facilities
- Recently strengthened management team with radiation therapy facility development expertise
- 36-39 month timeline before facility becomes operational
- Significant capital investment required for PBRT facility construction
Insights
The approval of the Certificate of Need (CON) for a Proton Beam Radiation Treatment facility in Rhode Island marks a significant strategic expansion for American Shared Hospital Services. This development represents a potential substantial revenue stream, particularly given the facility's strategic location between New York City and Boston. The 36-39 month timeline for operational readiness indicates a medium-term growth catalyst.
The company's evolution from a technology supplier to a direct healthcare provider through majority ownership in radiation therapy facilities demonstrates a compelling business model transformation. This vertical integration, combined with the company's established 60% ownership in three Rhode Island photon radiation therapy facilities, positions AMS for stronger market penetration and potentially improved margins. The strategic positioning in an underserved market with regional competition (only two other Northeast facilities) suggests favorable market dynamics for long-term growth.
The establishment of a PBRT facility in Rhode Island addresses a critical healthcare access gap in the Northeast corridor. Currently, patients must travel to either Boston or New York for proton therapy treatment, making this strategically located facility a valuable addition to regional cancer care infrastructure. The facility's integration into AMS's existing network of radiation therapy centers in Rhode Island creates a comprehensive cancer care ecosystem.
The company's vendor-agnostic approach and relationships with major OEMs provide operational flexibility and competitive advantages in equipment procurement and service delivery. The recent addition of experienced executives in radiation therapy facility development strengthens the execution capability for this significant project. This expansion aligns with broader healthcare trends toward increasing accessibility to advanced cancer treatments in community settings.
SAN FRANCISCO, Dec. 17, 2024 (GLOBE NEWSWIRE) -- American Shared Hospital Services (NYSE American: AMS) (the “Company” or “AMS”), a leading provider of turnkey technology solutions for stereotactic radiosurgery and advanced radiation therapy cancer treatment systems and services, today announced that its wholly owned subsidiary, ASHS – Rhode Island Proton Beam Radiation Therapy, LLC, has officially obtained a Certificate of Need (CON) to acquire the technology necessary to construct and operate a freestanding Proton Beam Radiation Treatment (PBRT) system in Johnston, Rhode Island.
Following the unanimous positive recommendation by the Health Service Council, the Director of the Rhode Island Department of Health accepted the recommendation of the Health Service Council to grant the CON.
Ray Stachowiak, Executive Chairman and CEO of the Company, commented,
“We are honored to have received this CON, as it gives us the opportunity to provide the physicians who comprise the Rhode Island cancer care community with the most highly sophisticated radiation therapy technology that exists, enabling Rhode Island cancer care providers to provide a continuum of coordinated comprehensive cancer care to their patients. We anticipate this facility being built and treating its first patients in 36 – 39 months. Once this occurs, Rhode Island residents whose physicians determine that their cancer can best be treated with proton therapy will no longer have to travel to Boston or New York to seek their care.
This facility would be our latest addition to the three Rhode Island photon radiation therapy facilities, in which AMS is the
Greg Mercurio, Sr Vice President of Radiation Oncology for AMS, a resident of RI, and a proven leader in advancing access to cancer care in Rhode Island, commented that “bringing proton therapy to Rhode Island will be a significant investment and great technological advancement in cancer care in Rhode Island.
The achievement of this CON is one of the three unique and local business opportunities we focused on and have successfully achieved and represents a potential growth driver for AMS locally and nationally. Currently, there are only two Proton Beam Radiation Therapy Systems in operation in the Northeast, and this facility, being conveniently located between the New York City and Boston Proton facilities, would create greater access to this cutting-edge, cancer-fighting technology in the Northeast.”
Ray Stachowiak concluded by noting that “to assist with these initiatives, the Company has recently added executives to its senior management team with many years of expertise and success in the development, acquisition, and operation of free-standing radiation therapy facilities, as well as partnering with health systems to grow their oncology service lines.”
About American Shared Hospital Services (NYSE American: AMS)
AMS has been in operation for 40 years, has been a publicly traded company since 1984 and is a leading provider of creative financial and turnkey solutions to cancer treatment centers, hospitals, and large cancer networks worldwide. The company works closely with all major global Original Equipment Manufacturers (OEMs) that provide leading edge clinical treatment systems and software to treat cancer using radiation therapy and radiosurgery. The Company is vendor agnostic and provides financial support for a wide range of radiation therapy technology including linear accelerators, Proton Beam Radiation Therapy Systems, Brachytherapy systems and suites, and through the Company’s subsidiary, GK Financing LLC., the Leksell Gamma Knife product and services. As a result of a strategic initiative to acquire the majority equity interest in the RI radiation therapy facilities in May 2024, AMS has expanded its US business model from that of a supplier of technology to health care systems to that of a direct provider of cancer care to patients utilizing the latest radiation therapy technology.
Safe Harbor Statement
This press release may be deemed to contain certain forward-looking statements with respect to the financial condition, results of operations and future plans of American Shared Hospital Services including statements regarding the expected continued growth of the Company and the expansion of the Company’s Gamma Knife, proton therapy and MR/LINAC business, which involve risks and uncertainties including, but not limited to, the risks of economic and market conditions, the risks of variability of financial results between quarters, the risks of the Gamma Knife and proton therapy businesses, the risks of changes to CMS reimbursement rates or reimbursement methodology, the risks of the timing, financing, and operations of the Company’s Gamma Knife, proton therapy, and MR/LINAC businesses, the risk of expanding within or into new markets, the risk that the integration or continued operation of acquired businesses could adversely affect financial results and the risk that current and future acquisitions may negatively affect the Company’s financial position. Further information on potential factors that could affect the financial condition, results of operations and future plans of American Shared Hospital Services is included in the filings of the Company with the Securities and Exchange Commission, including the Company’s Quarterly Reports on Form 10-Q for the three month periods ended March 31, 2024, June 30, 2024 and September 30, 2024, the Annual Report on Form 10-K for the year ended December 31, 2023, and the definitive Proxy Statement for the Annual Meeting of Shareholders that was held on June 25, 2024.
Contacts:
American Shared Hospital Services
Ray Stachowiak, Executive Chairman and CEO
rstachowiak@ashs.com
Investor Relations:
Kirin Smith
PCG Advisory, Inc.
ksmith@pcgadvisory.com
FAQ
When will AMS's new proton beam radiation therapy facility in Rhode Island begin operations?
How many proton beam radiation facilities does AMS operate in the Northeast region?
What is AMS's current market presence in Rhode Island?
What strategic advantage does the new Rhode Island PBRT facility location offer AMS?
What recent organizational changes has AMS made to support this expansion?
