* Deal includes $135 mln cash component
* Centric to also acquire Alaris' stake in Lifemark
* Co says syndicate of banks to provide $195 mln credit
* Shares rise 15 pct
(Adds deal details, CEO comments)
By Abhiram Nandakumar
BANGALORE, May 6 Diversified healthcare company
Centric Health Corp is to buy Lifemark Health Ltd
Partnership for about C$280 million ($289.5 million) in a
cash-and-stock deal to expand its footprint in the Canadian
Shares of Centric soared nearly 15 percent to C$1.78 on
Friday morning on the Toronto Stock Exchange.
Centric Health's Chief Executive Daniel Carriere said more
deals were in the pipeline.
"Bottomline is that we are expecting to move ahead
aggressively with a fairly comprehensive acquisition schedule,"
he told Reuters by phone.
The deal for Lifemark, a rehabilitation and physiotherapy
services provider, includes a cash component of about C$135
million and C$60 million in Centric shares at C$1.28 apiece,
which is a 17 percent discount to the stock's Thursday closing
Lifemark's partner Alaris Royalty Corp will be paid
C$65 million for its stake in the company. Centric will also
hold an option to buy the remaining stake for $65.5 million two
years after the deal closes.
Alaris, which said the deal values its stake in Lifemark at
C$130.5 million, will continue to get C$6.75 million annually in
preferred distributions. The Calgary, Alberta-based alternative
financier had originally paid C$74 million for its stake.
Centric will also assume about C$20 million in earnout
obligations and future debt for acquisitions that Lifemark had
already been considering, which Carriere expects will be inked
in the next few months.
Centric also said a syndicate of banks has agreed to provide
secured credit lines for $195 million for the acquisition. The
deal will leave Centric with a debt of about C$155 million.
($1 = 0.967 Canadian Dollars)
(Reporting by Abhiram Nandakumar in Bangalore; Editing by