Acadia to Host Conference Call Today at 10:30 a.m. Eastern Time
FRANKLIN, Tenn.--(BUSINESS WIRE)--Jul. 14, 2016--
Earlier today, the Competition and Markets Authority (“CMA”) made an
announcement regarding the acquisition of Priory Group (“Priory”) by
Acadia Healthcare Company, Inc. (NASDAQ: ACHC). The CMA, which is the
United Kingdom’s primary competition and consumer authority, announced
that the acquisition of Priory by Acadia will be referred for a Phase 2
investigation, unless Acadia and Priory are able to offer undertakings
that address the CMA’s competition concerns in relation to the provision
of behavioral healthcare services in certain markets. Priory, a leading
provider of behavioral healthcare services in the United Kingdom, was
acquired by Acadia on February 16, 2016, for approximately $2.2 billion.
At the completion of the transaction, Priory operated more than 300
facilities with approximately 7,100 beds.
Joey Jacobs, Chairman and Chief Executive Officer of Acadia, said, “We
are disappointed by the CMA’s decision to refer this transaction for a
Phase 2 investigation. We fully intend to explore how best to satisfy
the CMA’s concerns and to respond to the CMA with our undertakings prior
to the deadline of July 21, 2016. If we provide undertakings, we expect
the CMA will communicate its response to our undertakings by July 28,
2016.”
Should the CMA proceed with the Phase 2 assessment, they will continue
to investigate whether the Priory acquisition has created a relevant
merger situation that has resulted, or may be expected to result, in a
substantial lessening of competition within any market or markets in the
U.K. for inpatient behavioral healthcare services. The Phase 2
assessment is expected to take approximately nine months to complete.
During this period, the “hold-separate” requirements will remain in
place.
Acadia will conduct a conference call with institutional investors and
analysts today at 10:30 a.m. ET to discuss the CMA’s decision.
Additionally, a live broadcast of the conference call will be available
at www.acadiahealthcare.com
in the “Investors” section of the website. The webcast of the conference
call will be available through July 31, 2016.
About Acadia
Acadia is a provider of inpatient behavioral healthcare services. Acadia
operates a network of 587 behavioral healthcare facilities with
approximately 17,400 beds in 39 states, the United Kingdom and Puerto
Rico. Acadia provides behavioral health and addiction services to its
patients in a variety of settings, including inpatient psychiatric
hospitals, residential treatment centers, outpatient clinics and
therapeutic school-based programs.
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Source: Acadia Healthcare Company, Inc.
Acadia Healthcare Company, Inc.
Brent Turner, 615-861-6000
President