U.S. Physical Therapy Announces Acquisition Of A Fourteen-Clinic Physical Therapy Practice

Rhea-AI Summary

U.S. Physical Therapy, Inc. (USPH) has announced the acquisition of a fourteen-clinic physical therapy practice, purchasing 60% equity for $19.3 million. The current practice generates over $9 million in annual revenue and approximately 84,000 patient visits each year. CEO Chris Reading expressed confidence in the partnership's potential for growth, aiming for significant expansion in the coming years. This acquisition is part of USPH's strategy to enhance its footprint in the physical therapy market and capitalize on existing synergies.

Positive

• Acquisition of 60% equity interests in a fourteen-clinic practice for $19.3 million.
• The practice generates over $9 million in annual revenue and 84,000 patient visits.
• Potential for further payments based on future business performance.
• Strategic move to expand footprint and scale operations in the physical therapy market.

Negative

• None.

HOUSTON--(BUSINESS WIRE)-- U.S. Physical Therapy, Inc. ("USPH" or the “Company”) (NYSE: USPH), a national operator of outpatient physical therapy clinics and provider of industrial injury prevention services, today announced the acquisition of a fourteen-clinic physical therapy practice.

USPH acquired 60% of the equity interests of the physical therapy practice with the practice’s owners retaining 40%. The purchase price for the 60% equity interest was approximately $19.3 million, with a potential additional amount to be paid at a later date based on the performance of the business. The business currently generates more than $9 million in annualized revenue and approximately 84,000 annualized patient visits.

Chris Reading, Chief Executive Officer, stated, “I am extremely pleased to partner with this fantastic team who has created a network of growing and very busy clinics in record time. I fully expect this to be a lot of fun helping them significantly scale this partnership into what we believe will be a multi-state region in the coming years.”

About U.S. Physical Therapy, Inc.

Founded in 1990, U.S. Physical Therapy, Inc. operates 629 outpatient physical therapy clinics in 40 states. The Company's clinics provide preventative and post-operative care for a variety of orthopedic-related disorders and sports-related injuries, treatment for neurologically-related injuries and rehabilitation of injured workers. In addition to owning and operating clinics, the Company manages 40 physical therapy facilities for unaffiliated third parties, including hospitals and physician groups. The Company also has an industrial injury prevention business which provides onsite services for clients’ employees including injury prevention and rehabilitation, performance optimization, post-offer employment testing, functional capacity evaluations, and ergonomic assessments.

More information about U.S. Physical Therapy, Inc. is available at www.usph.com. The information included on that website is not incorporated into this press release.

View source version on businesswire.com: https://www.businesswire.com/news/home/20221101005155/en/

U.S. Physical Therapy, Inc.

Carey Hendrickson, Chief Financial Officer

email: chendrickson@usph.com

Chris Reading, Chief Executive Officer

(713) 297-7000

Three Part Advisors

Joe Noyons

(817) 778-8424

Source: U.S. Physical Therapy, Inc.

FAQ

What did U.S. Physical Therapy, Inc. announce in their recent press release on USPH?

U.S. Physical Therapy announced the acquisition of a fourteen-clinic practice, acquiring 60% equity for approximately $19.3 million.

What is the expected financial impact of the recent acquisition by USPH?

The acquired practice generates over $9 million in annual revenue and approximately 84,000 patient visits, which may enhance USPH's income.

What are U.S. Physical Therapy's future plans following the acquisition?

USPH plans to scale the partnership and expand its operations into multi-state regions.

How much did USPH pay for the 60% equity interest in the new clinics?

USPH paid approximately $19.3 million for the 60% equity interest in the fourteen-clinic practice.

What are the potential future payments related to the acquisition by USPH?

There is a potential additional payment based on the future performance of the acquired business.