Hospital chain buys surgery center
Columbia/HCA Healthcare Corp. yesterday agreed to buy surgery center operator Medical Care America Inc. for approximately $1.1 billion in stock and assumed debt, in another step in the rapid consolidation of the medical care industry.
The proposed merger expands the reach of Louisville, Ky.-based Columbia/HCA, already the nation's biggest hospital chain, by adding 96 outpatient centers.
Medical Care America shareholders will receive Columbia/HCA shares worth approximately $30 for each Medical Care share, according to a formula based on the value of Columbia's share price.
Tracor awarded Navy contract
Tracor Applied Sciences Inc., a California, Md.-based subsidiary of Tracor Inc., has been awarded a four-year Navy contract, valued at $32 million, including options, to provide engineering and technical services for communications equipment.
Manekin wins office building bid
Manekin Corp. said yesterday that it has won a contract to lead the development of a 60,000-square-foot government services building for the city of Frederick. Construction on the $5 million project is to begin in July.
Business borrowing on increase
Demand for business loans has remained strong, the Federal Reserve reported yesterday in a seasonal survey that showed business borrowing has boomed despite repeated moves by the Fed to tighten credit.
The Fed surveyed loan officers at 58 domestic banks and 18 U.S. branches of foreign banks in May.
Archibald Cox Jr. packs bags again
Archibald Cox Jr., who last summer stunned Wall Street when he resigned as president and chief executive of CS First Boston, has left another job.
Mr. Cox yesterday chose to leave Tiger Management Corp. after he failed to raise $1 billion that the fund management company had targeted for investments in emerging markets, primarily infrastructure projects in China and Southeast Asia.
Mr. Cox, who was not available for comment, was hired expressly to raise the money and manage the fund. When it became clear that his efforts had fallen short, Tiger chose to abort the effort.
"When this fund never materialized, his rationale for being here dematerialized as well," a figure close to the concern said yesterday.
Figures close to Tiger said there was "significant" interest in the fund, and that Mr. Cox had been successful in raising about $250 million.
He is the son of Archibald Cox, the first special prosecutor to investigate the Watergate scandal.