Pediatrix® Expands Presence in Florida Through Affiliation with 13-Clinic Pediatric Urgent Care Practice

Rhea-AI Summary

Mednax, Inc. (NYSE: MD) has acquired Night Lite Pediatrics, LLC, a pediatric urgent care practice with 13 clinics in Florida. Founded in 2005, Night Lite employs 30 physicians and offers urgent care, telemedicine, and COVID-19 services. This cash transaction is expected to be immediately accretive to earnings, enhancing Mednax's strategy to develop innovative pediatric services powered by Brave Care technology. The clinics will be rebranded to Pediatrix, further expanding Mednax's presence in pediatric care in Florida.

Positive

• Acquisition of Night Lite Pediatrics enhances Mednax's pediatric urgent care capabilities.
• Expected to be immediately accretive to earnings, indicating positive financial impact.
• Expands access to high-quality pediatric care in Florida.

Negative

• None.

FORT LAUDERDALE, Fla.--(BUSINESS WIRE)-- Mednax, Inc. (NYSE: MD) and its affiliated practices operating as Pediatrix® Medical Group (Pediatrix), the nation’s leading provider of highly specialized health care for women, children and babies, today announced the acquisition of Night Lite Pediatrics, LLC (Night Lite Orlando or NLO), a private 13-clinic pediatric urgent care practice based in Orlando, Florida.

Founded in 2005, Night Lite Orlando is a well-established provider of pediatric urgent care and telemedicine services as well as COVID-19 testing and vaccines. Comprising 30 physicians, 11 advanced practice providers, 83 clinic support staff and 69 administrative staff, the group serves patients at 13 locations throughout Florida including the Greater Orlando area, Jacksonville, Melbourne and Port St. Lucie.

“We are thrilled to welcome Dr. Otegbeye and the Night Lite Orlando team to the Pediatrix family,” said Mark Ordan, chief executive officer of Mednax. “This partnership marks significant progress in the company’s plan to transform and develop innovative pediatric primary and urgent care clinics throughout the country, powered by Brave Care technology. These reputable pediatric urgent care clinics are located where we already have a strong multispecialty presence, which will enable us to expand access to high-quality care for children and families in Florida and beyond.”

“We believe we have a care proposition for children and young adults that will enhance care in terms of quality, cost and time efficiency, and Pediatrix is a leader in this space with a solid history of making pediatric practices even stronger,” said Ayodeji Otegbeye, M.D., president and founder of Night Lite Orlando, who will serve as medical director for the practice. “We see Mr. Ordan and Pediatrix as being visionary and there is no better partner that we can have than people focused in this area – it makes for a really good relationship. We are excited about what is to come and the potential we have to change the care paradigm in pediatrics.”

NLO will soon be rebranded as Pediatrix along with the company’s existing affiliated practices, including eight NightLight urgent care clinics in Houston, Texas.

This was a cash transaction, and it is expected to be immediately accretive to earnings. No additional terms of the transaction were disclosed.

ABOUT MEDNAX

Mednax, Inc. is a national medical group comprised of the nation’s leading providers of physician services practicing under the Pediatrix® brand. Pediatrix-affiliated clinicians are committed to providing coordinated, compassionate and clinically excellent services to women, babies and children across the continuum of care, both in hospital settings and office-based practices. Specialties include obstetrics, maternal-fetal medicine and neonatology complemented by 18 pediatric subspecialties, as well as a newly expanded area of primary and urgent care clinics. The group’s high-quality, evidence-based care is bolstered by investments in research, education, quality-improvement and safety initiatives. The company was founded in 1979 as a single affiliated neonatology practice and today provides its highly focused and often critical care services through more than 4,700 affiliated physicians and other clinicians in 38 states and Puerto Rico. To learn more about Pediatrix, visit www.pediatrix.com or follow us on Facebook, Instagram, LinkedIn, Twitter and the Pediatrix blog. Mednax investment information can be found at www.mednax.com/investors.

Certain statements and information in this press release may be deemed to contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended (the “Securities Act”), and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements may include, but are not limited to, statements relating to the Company’s objectives, plans and strategies, and all statements, other than statements of historical facts, that address activities, events or developments that we intend, expect, project, believe or anticipate will or may occur in the future. These statements are often characterized by terminology such as “believe,” “hope,” “may,” “anticipate,” “should,” “intend,” “plan,” “will,” “expect,” “estimate,” “project,” “positioned,” “strategy” and similar expressions, and are based on assumptions and assessments made by the Company’s management in light of their experience and their perception of historical trends, current conditions, expected future developments and other factors they believe to be appropriate. Any forward-looking statements in this press release are made as of the date hereof, and the Company undertakes no duty to update or revise any such statements, whether as a result of new information, future events or otherwise. Forward-looking statements are not guarantees of future performance and are subject to risks and uncertainties. Important factors that could cause actual results, developments, and business decisions to differ materially from forward-looking statements are described in the Company’s most recent Annual Report on Form 10-K and its Quarterly Reports on Form 10-Q, including the sections entitled “Risk Factors”, as well the Company’s current reports on Form 8-K, filed with the Securities and Exchange Commission, and include the impact of the COVID-19 pandemic on the Company and its financial condition and results of operations; the effects of economic conditions on the Company’s business; the effects of the Affordable Care Act and potential changes thereto or a repeal thereof; the Company’s relationships with government-sponsored or funded healthcare programs, including Medicare and Medicaid, and with managed care organizations and commercial health insurance payors; the impact of surprise billing legislation; the Company’s ability to comply with the terms of its debt financing arrangements; the Company’s transition to a third-party revenue cycle management provider; the impact of the divestiture of the Company’s anesthesiology and radiology medical groups; the impact of management transitions; the timing and contribution of future acquisitions; the effects of share repurchases; and the effects of the Company’s transformation initiatives, including its reorientation on, and growth strategy for, its pediatrics and obstetrics business.

View source version on businesswire.com: https://www.businesswire.com/news/home/20220204005027/en/

Charles Lynch

Senior Vice President, Finance and Strategy

954.384.0175 ext. 5692

charles_lynch@mednax.com

Source: Mednax, Inc.

FAQ

What did Mednax announce regarding Night Lite Pediatrics on [insert date]?

Mednax announced the acquisition of Night Lite Pediatrics, a pediatric urgent care provider with 13 clinics in Florida.

How many clinics does Night Lite Pediatrics operate?

Night Lite Pediatrics operates 13 clinics across Florida.

What is the expected financial impact of the Night Lite acquisition for Mednax (MD)?

The acquisition is expected to be immediately accretive to earnings for Mednax.

What services does Night Lite Pediatrics provide?

Night Lite Pediatrics offers pediatric urgent care, telemedicine, and COVID-19 testing and vaccines.

What is the significance of the acquisition for Mednax's strategy?

The acquisition aligns with Mednax's strategy to expand pediatric primary and urgent care clinics using Brave Care technology.