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MEDNAX Announces Acquisition of Neonatology Practice in Ohio

FORT LAUDERDALE, Fla.--(BUSINESS WIRE)--Oct. 7, 2013-- MEDNAX, Inc., (NYSE: MD) today announced the acquisition of Dayton Newborn Care Specialists, Inc., a neonatal physician group practice based in Dayton, Ohio. The practice will become part of MEDNAX’s Pediatrix Medical Group division, a national group practice consisting of the nation’s leading neonatal, maternal-fetal medicine, pediatric cardiology, and other pediatric specialty physicians.

Established in 2006, Dayton Newborn Care Specialists is a private practice that consists of three neonatologists and one pediatrician, who provide a wide spectrum of services, including neonatal intensive care, labor and delivery, newborn nursery, and maternal consults at Dayton Children’s Hospital, a Level III, 41-bed neonatal intensive care unit (NICU), Springfield Regional Medical Center, a Level II NICU, as well as services at nine other hospitals in the greater Dayton metropolitan area.

“We can only foresee positive outcomes from uniting with Pediatrix, including more time focused on caring for Dayton’s most critical newborns, as we have done for nearly 20 years,” said M. David Yohannan, M.D., who will serve as medical director for the practice. “We knew change would be inevitable if we were going to manage the challenges ahead in the uncertain healthcare environment. Being part of Pediatrix will provide us with the support we need for the business operations of our practice, such as billing, compliance, credentialing and recruiting, as well important research, education and quality initiatives.”

Pediatrix Medical Group currently provides NICU services at Miami Valley Hospital, which earlier this year joined with Dayton Children’s Hospital to form the Southwest Ohio Neonatal Collaborative. The purpose of the collaborative is to elevate the quality of care and strengthen the health care delivery system for mothers and babies by drawing on the expertise of the two regional high-risk centers.

“Dr. Yohannan and the neonatology team at Dayton Newborn Care Specialists have been an important part of the success of our regional level III NICU. We are pleased they will continue to provide the highest level of care to the critically ill newborns here at Dayton Children’s as part of Pediatrix Medical Group,” stated Deborah Feldman, president and CEO of Dayton Children’s Hospital. “We know the emphasis Pediatrix places on driving clinical research, quality, education and improved outcomes is parallel to ours and will only serve to enrich the mission of Dayton Children’s and the Southwest Ohio Neonatal Collaborative.”

The practice was acquired for cash and the transaction is expected to be immediately accretive to earnings. No additional terms of the transaction were disclosed.

With this acquisition, nine physician group practices have become part of MEDNAX in 2013, four as part of Pediatrix Medical Group, and five as part of American Anesthesiology.

ABOUT MEDNAX

MEDNAX, Inc. is a national medical group comprised of the nation's leading providers of neonatal, maternal-fetal and pediatric physician subspecialty services as well as anesthesia services. Physicians and advanced practitioners practicing as part of MEDNAX are reshaping the delivery of care within their specialties and subspecialties, using evidence-based tools, continuous quality initiatives and clinical research to enhance patient outcomes and provide high-quality, cost-effective care. Pediatrix Medical Group, a unit of MEDNAX, was founded in 1979 and now includes neonatal physicians who provide services at more than 330 neonatal intensive care units, who collaborate with affiliated maternal-fetal medicine, pediatric cardiology and pediatric critical care physician subspecialists to provide a clinical care continuum. Pediatrix is also the nation's largest provider of newborn hearing screens. In 2007, MEDNAX expanded into anesthesia services. Today, American Anesthesiology includes more than 1,700 anesthesiologists and advanced practitioners who provide anesthesia care to patients in connection with surgical and other procedures as well as pain management. MEDNAX, through its affiliated professional corporations, employs more than 2,200 physicians in 34 states and Puerto Rico. Additional information is available at www.mednax.com.

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, 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 our 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 MEDNAX’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 MEDNAX 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 MEDNAX’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 MEDNAX’s current reports on Form 8-K, filed with the Securities and Exchange Commission.

Source: MEDNAX, Inc.

MEDNAX, Inc.
Vivian Lopez-Blanco, 954-384-0175, x 5020
Chief Financial Officer/Treasurer
vivian_lopezblanco@mednax.com