New Board and New Executive Management Team
Committed to Enhancing Company’s Integrated Cancer Care Services
Kimberly Commins-Tzoumakas appointed Interim CEO
FORT MYERS, Fla., Jan. 17, 2018 (GLOBE NEWSWIRE) -- 21st Century Oncology Holdings, Inc., the largest global provider of integrated cancer care services, announced today that it has emerged from Chapter 11 under new owners, including certain funds and accounts managed by Beach Point Capital Management LP, Governors Lane, LP, J.P. Morgan Investment Management, Inc. Oaktree Capital Management, LP, Roystone Capital Management LP, and HPS Investment Partners LLC. The owners are providing new growth and working capital to the Company and have high expectations for the Company's long-term success. With a substantially improved balance sheet and operating footprint, the Company has greater financial flexibility to enhance its ability to provide critical medical care and services to oncology patients across the world.
The leadership of the reorganized 21st Century Oncology includes a new Governing Board, which includes Thomas Gordon, Mark Stolper, Fulton Collins, Nilay Mehta, Robert Cook and Jeff Goldberg. Collectively, the new Board has significant healthcare and corporate leadership experience. As its first order of business, the Board unanimously appointed Kimberly Commins-Tzoumakas as Interim Chief Executive Officer.
“Kim has been a key part of the executive team for the past few years, and during the Chapter 11 process she was instrumental in achieving a resolution of various key issues that ultimately allowed us to obtain approval of the Plan earlier this month,” said Mr. Goldberg, chair of the new Board. “Kim will provide important leadership, stability and continuity as we transition into the post-Chapter 11 phase and conduct a search for someone to fill the role on a permanent basis.”
Mr. Goldberg added, "We have amazing physicians, a talented senior leadership team and incredible employees across the organization. I know I can speak for the full Board and our new ownership when I say that our team is our greatest asset, and it adds greatly to our confidence that we can execute on our business plan and become an even stronger provider of integrated cancer care services. We all are aligned on the long-term strategy and are fully committed to what will always be our top priority – providing the best medical care possible to our patients.”
Ms. Commins-Tzoumakas said, "I am very excited about this opportunity to help lead 21st Century Oncology during an important time in the Company’s history. The successful financial restructuring provides a fresh start and an infusion of capital from our new ownership group, which demonstrates their confidence in the Company and its future. We now have the opportunity to fully leverage the strengths of our business and the skills of our medical professionals and other employees. We are very grateful that our physicians, patients, partners and employees stood by us as we went through the Chapter 11 process. The Board and I intend to work as hard as we can to reward their loyalty, support and patience and to make sure the Company reaches its full potential.”
NEW LEADERSHIP BIOGRAPHIES
Thomas Gordon has over 20 years of experience in managing medical organizations. He previously served as Executive Vice President of Cedars-Sinai Health System, as Chief Executive Officer of Cedars-Sinai Medical Network Services, and as Chief Executive Officer of the Medical Group of Beverly Hills. Mr. Gordon teaches a course on Leadership in the Executive MPH Program, is a preceptor in the graduate program in Health Policy and Management, and is a member of the Professional Advisory Council for the Fielding School of Public Health at the University of California, Los Angeles. He also is a guest lecturer at UCLA’s Anderson School of Business. Mr. Gordon currently serves as the chairman of the board of the DSL Construction Corporation and a co-trustee of the Don Levin Trust.
Mark Stolper is the Executive Vice President and Chief Financial Officer of RadNet, Inc., the largest owner and operator of freestanding medical diagnostic imaging centers in the United States. Mr. Stolper also currently serves as a member of the board of directors of Rotech Healthcare (the third largest provider of respiratory services, sleep apnea and durable medical equipment to patient homes in the U.S.) and RTI Surgical, Inc. (a developer, manufacturer, and distributer of orthopedic and other surgical implants). Mr. Stolper has also previously served on the board of directors of several public and private health care companies.
George Fulton Collins
George Fulton Collins currently serves as a partner of Collins Investments, a privately held family investment company and as CEO of Collins Capital. Mr. Collins previously served as the Chairman and CEO of Network Communications Inc. (nci.com), one of the largest national media companies serving multi-family and home improvement real estate markets. His professional career began in the consumer products industry working for industry leading companies like E&J Gallo and Nestlé S.A. Mr. Collins has served on the board of several privately held companies, including Euramax International, a multinational building products company, and Envirotest Systems Holdings, an international leader in vehicle emissions testing and technology. Mr. Collins served as the worldwide Chairman of the Young Presidents’ Organization (YPO) Board for 2013-2014 and was a member of the board of directors from 2010-2015.
Nilay Mehta is a Senior Vice President at Oaktree Capital Management. Prior to joining Oaktree in 2014, Mr. Mehta was a managing director at ALJ Capital Management, where he was responsible for sourcing and evaluating distressed and special situation investments, and a managing director at Par-Four Investment Management. Mr. Mehta began his career as a senior research analyst with W.R. Huff Asset Management before joining BNY Capital Markets, most recently as a Vice President.
Robert Cook is a Managing Director and the global head of the High Yield team in the Global Fixed Income, Currency & Commodities (GFICC) group at J.P. Morgan Asset Management. Based in Indianapolis, Mr. Cook is the lead portfolio manager and is responsible for overseeing high yield total return strategies, sub-advised mutual fund assets and absolute return credit products. Prior to joining the firm in 2004, Mr. Cook spent ten years at 40|86 Advisors, most recently as co-head of the Fixed Income investment process, responsible for managing high yield total return assets and directing credit research. Previously, he worked at PNC Bank’s investment banking division in Pittsburgh, where he was involved with syndicated loans, M&A, private placements and structured products.
Jeff Goldberg is chair of the board of LifeCare (a post-acute care health services company), chair of the board of Corizon Health (a company providing correctional health care services), and chair of the board of M*Modal (one of the country’s leading providers of clinical-documentation-improvement services to health care systems). In the past, Mr. Goldberg has served as chair of the board of Physiotherapy Associates (one of the country’s largest physical therapy companies), co-chair of the board of Surgical Specialties Corporation, a supplier of surgical devices, and president of IncuMed (Al Mann’s technology incubator for development-level companies). Mr. Goldberg has held executive management positions in the health care industry, including with Advanced Bionics Corporation, Los Angeles Orthopaedic Hospital (in alliance with UCLA Healthcare), and the Doheny Eye Institute (affiliated with UCLA Healthcare).
Kim Commins-Tzoumakas has served as a member of 21st Century Oncology’s executive team, as an advisor to the board, and as General Counsel since November 2014. Before that, she served in an executive legal role with Carondelet Health Network and was a key founder of the Michigan office and a board member of Hall Render, a national health care law firm.
About 21st Century Oncology Holdings, Inc.
21st Century Oncology Holdings, Inc. is the largest global provider of integrated cancer care services. The Company offers a comprehensive range of cancer treatment services, focused on delivering academic quality, cost-effective patient care in personal and convenient settings. As of December 31, 2017, the Company operates 167 treatment centers, including 131 centers located in 17 U.S. states and 36 centers located in seven countries in Latin America.
Forward Looking Statements
This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Act of 1934, as amended. Statements preceded by, followed by or that otherwise include the words “believes”, “expects”, “anticipates”, “intends”, “projects”, “estimates”, “plans”, “may increase”, “forecast” and similar expressions or future or conditional verbs such as “will”, “should”, “would”, “may” and “could” are generally forward-looking in nature and not historical facts. Forward-looking statements are based on management’s current expectations or beliefs about the Company’s future plans, expectations and objectives. These forward-looking statements are not historical facts and are subject to risks and uncertainties that could cause the actual results to differ materially from those projected in these forward looking statements including, but not limited to reductions in Medicare reimbursement, healthcare reform, state and federal investigations, claims and litigation matters, decreases in payments by managed care organizations and other commercial payers, liquidity, leverage ratios and compliance with other debt covenants and other risk factors that may be described from time to time in the Company’s filings with the Securities and Exchange Commission. Readers of this release are cautioned not to place undue reliance on forward-looking statements contained herein, which speak only as of the date stated, or if no date is stated, as of the date of this press release. The Company undertakes no obligation to publicly update or revise the forward-looking statements contained herein to reflect changed events or circumstances after the date of this release, unless required by law.
Sard Verbinnen & Co.
Andrew Cole 212.687.8080 / Steven Goldberg 310.201.2040
Source: 21st Century Oncology