The Ensign Group, Inc. (Nasdaq: ENSG), the parent company of the Ensign™ group of skilled nursing, rehabilitative care services, assisted living, home health and hospice care companies, announced today that its board of directors has authorized the company to repurchase up to $10 million of its common stock over the next 12 months.
“This program reaffirms our continued confidence in the Company’s near and long-term financial and operating performance, and our commitment to enhancing shareholder value,” said Christopher Christensen, Ensign’s President and CEO.
Mr. Christensen confirmed that the company intends to continue paying quarterly dividends, and growing and diversifying its business. Pointing to the company’s strong cash flow and existing credit facilities, He noted that Ensign is well-positioned to continue acquiring not only well-performing and struggling long-term care skilled nursing and assisted living operations, but also existing and start-up or early-stage hospice and home health agencies. “While we will continue to invest in our current operations and the acquisition of additional operational assets, we are pleased that our strong balance sheet, significant credit relationships and the untapped equity in our real estate portfolio provide us with the flexibility to opportunistically repurchase Ensign shares,” he added.
Under the stock repurchase program, the Company is authorized to repurchase its issued and outstanding common shares from time to time in open-market and privately negotiated transactions and block trades in accordance with federal securities laws, including Rule 10b-18 promulgated under the Securities Exchange Act of 1934 as amended.
The number of shares repurchased by the company will depend entirely upon the levels of cash available, the attractiveness of alternate investment and business opportunities either at hand or on the horizon, and Management’s perception of value relative to market price, as well as other legal, regulatory and contractual requirements. The repurchase program does not obligate Ensign to repurchase any dollar amount or number of shares of common stock.
The Ensign Group, Inc.’s independent operating subsidiaries provide a broad spectrum of skilled nursing and assisted living services, physical, occupational and speech therapies, home health and hospice services, and other rehabilitative and healthcare services for both long-term residents and short-stay rehabilitation patients at 100 facilities, three hospice companies and three home health businesses in California, Arizona, Texas, Washington, Utah, Idaho, Colorado, Nevada, Iowa and Nebraska. More information about Ensign is available at http://www.ensigngroup.net.
Safe Harbor Statement
This release may include forward-looking statements including, but not limited to, statements as to the Company’s plans, objectives, expectations and business strategy. Forward-looking statements can often be identified by words such as “anticipates,” “expects,” “intends,” “plans,” “predicts,” “believes,” “seeks,” “estimates,” “may,” “will,” “should,” “would,” “could,” “potential,” “continue,” “ongoing,” similar expressions, and variations or negatives of these words. These forward-looking statements include, but are not limited to, statements regarding growth prospects and future operating and financial performance. They are not guarantees of future results and are subject to risks, uncertainties and assumptions that could cause actual results to materially and adversely differ from those expressed in any forward-looking statement. Important factors which could cause actual results to differ materially from those in the forward-looking statements are detailed in filings made by Ensign with the Securities and Exchange Commission. Ensign undertakes no obligation to update or revise any such forward-looking statements to reflect subsequent events or circumstances.
CONTACT: Robert East of Westwicke Partners LLC, +1-443-213-0500, firstname.lastname@example.org, or Suzanne Snapper of The Ensign Group, Inc., +1-949-487-9500, email@example.com
Web Site: http://www.ensigngroup.net
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