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LifePoint to Continue Aggressive M&A Approach

LifePoint Hospitals, based in Brentwood, Tenn., plans to continue to aggressively pursue acquisitions this year and beyond, LifePoint CFO and Executive Vice President Leif Murphy told The Deal.

The for-profit LifePoint is "constantly evaluating" opportunities for expansion, Mr. Murphy said. The hospital operator currently has a presence in 21 states and controls about 68 separate hospitals, according to The Deal.

Mr. Murphy didn't say where LifePoint is looking to expand specifically, but RBC Capital Markets Corp. Analyst Frank Morgan said the company, which is concentrated in rural areas, is moving into more suburban markets, as evidenced by recent transactions.

Earlier this year, Duke LifePoint — a joint venture between LifePoint and nonprofit Duke University Health System in Durham, N.C. — finalized a joint venture with Wilson (N.C.) Medical Center. Additionally, last month, Duke LifePoint signed a letter of intent to acquire Conemaugh Health System in Johnstown, Pa., giving the system its first presence in Pennsylvania.

Mr. Morgan told The Deal it's a good idea for LifePoint to diversify by moving into suburban markets, given the lag in rural markets. Despite various acquisitions, LifePoint reported EBITDA of$537 million last year, up only 14 percent from $469 million four years earlier, according to the report.

More Articles on LifePoint Hospitals:
LifePoint Hospitals Names Dr. Reed Tuckson to Board  
Duke LifePoint to Acquire Conemaugh Health System  
Duke LifePoint Completes Wilson Medical Center Joint Venture 

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