ALHAMBRA, Calif., July 19, 2021 /PRNewswire/ -- Apollo Medical
Holdings, Inc. ("ApolloMed," and together with its subsidiaries and
affiliated entities, the "Company") (NASDAQ: AMEH), a leading
physician-centric, technology-powered healthcare company focused on
enabling providers in the successful delivery of value-based care,
today announced its affiliate AP-AMH 2 Medical Corporation has
entered into a definitive agreement to acquire 80% of the fully
diluted capitalization of Access Primary Care Medical Group
("APCMG"), a primary care physicians' group focused on providing
high-quality care to senior patients.
According to the terms of the agreement, 50% of the purchase
price will be paid in cash to APCMG within 10 business days of the
closing of the transaction, and the remaining 50% will be paid upon
APCMG achieving certain financial milestones in 2022. The Company
anticipates closing this transaction in the third quarter of 2021
and will fund the transaction from cash on hand.
Primarily serving patients in the northern California cities of Daly City and San
Francisco, APCMG is a risk-bearing organization that has
successfully provided professional services to seniors under
capitation arrangements with its contracted payer partners since
2016.
The deal will Bring ApolloMed's technology and operations
platform to over 120 APCMG primary and specialty care providers
serving approximately 1,000 Medicare Advantage members. The Company
has also provided management services to APCMG since 2016.
Kenneth Sim, M.D., Executive
Chairman and Co-Chief Executive Officer of ApolloMed, stated, "We
are thrilled with the expansion of our existing partnership with
APCMG, an impressive group of primary care physicians that is
committed to delivering affordable, high-quality value-based care
to local communities. APCMG will provide ApolloMed with a strong
foothold in the Bay Area with the opportunity to expand from
San Francisco down the
Peninsula."
Romeo David, M.D., Chief
Executive Officer of APCMG, added, "ApolloMed has been a trusted
partner of APCMG for the past several years as our MSO. This was a
logical next step in our relationship, and we are excited about the
possibilities for our organization as our physicians gain access to
the many benefits presented by ApolloMed's physician-centric,
tech-powered platform and decades of success in delivering
value-based care in California."
About Apollo Medical Holdings, Inc.
ApolloMed is a
leading physician-centric, technology-powered, risk-bearing
healthcare company. Leveraging its proprietary end-to-end
technology solutions, ApolloMed operates an integrated healthcare
delivery platform that enables providers to successfully
participate in value-based care arrangements, thus empowering them
to deliver high quality care to patients in a cost-effective
manner.
Headquartered in Alhambra,
California, ApolloMed's subsidiaries and affiliates include
management services organizations (MSOs), affiliated independent
practice associations (IPAs), and a Next Generation Accountable
Care Organization (NGACO). For more information, please visit
www.apollomed.net.
Forward Looking Statements
This press release
contains 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, and Section 21E of the
Securities Exchange Act of 1934, as amended, such as statements
about the Company's possible acquisition of a controlling stake in
APCMG and ApolloMed's and APCMG's growth, acquisition strategy,
ability to deliver sustainable long-term value, operational focus,
and strategic growth and expansion plans. Forward-looking
statements reflect current views with respect to future events and
financial performance and therefore cannot be guaranteed. Such
statements are based on the current expectations and certain
assumptions of ApolloMed's management, and some or all of such
expectations and assumptions may not materialize or may vary
significantly from actual results. Actual results may also vary
materially from forward-looking statements due to risks,
uncertainties and other factors, known and unknown, including the
risk factors described from time to time in ApolloMed's reports
filed with the Securities and Exchange Commission, including,
without limitation, the risk factors contained in ApolloMed's
Annual Report on Form 10-K for the year ended December 31, 2020, and any subsequent Quarterly
Reports on Form 10-Q.
FOR MORE INFORMATION, PLEASE CONTACT:
Investor
Relations
(626) 943-6491
investors@apollomed.net
Carolyne Sohn, The Equity
Group
(415) 568-2255
csohn@equityny.com
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SOURCE Apollo Medical Holdings, Inc.