CHARLOTTE, N.C., March 10 /PRNewswire-FirstCall/ -- Cogdell Spencer Inc. announced today the closing of the acquisition of 100 percent of the stock of Marshall Erdman and Associates. The completion of this merger creates the largest and most integrated healthcare real estate company in the country, with over 600 employees nationwide.
The $247 million merger, announced on January 23, 2008, was financed through a $100 million term loan arranged by Keybank National Association; an $85 million rollover equity held by Erdman's principal shareholders and members of its management team; and a new $150 secured line of credit arranged by Bank of America, N.A.
"Cogdell Spencer is pleased to complete this merger and put strategic plans in motion to become the market leader in healthcare facilities in the United States," said Frank C. Spencer, president and CEO of Cogdell Spencer Inc.
About Cogdell Spencer Inc.
Charlotte-based Cogdell Spencer Inc. is a fully-integrated, self-administered and self managed real estate investment trust (REIT) that invests in specialty office buildings for the medical profession, including medical offices, ambulatory surgery and diagnostic centers. At present, the Cogdell Spencer Inc. portfolio consists of 61 wholly owned properties and consolidated joint ventures, three unconsolidated joint venture properties and 53 managed medical office buildings. For more information on Cogdell Spencer Inc., please visit the Company's website at http://www.cogdellspencer.com/.
About Marshall Erdman & Associates
For more than 50 years, the name Marshall Erdman & Associates (Erdman) has been an integrated healthcare facilities provider; Erdman provides planning, development, architecture, engineering, construction, materials management, and manufacturing services. Clients have depended on Erdman's collaborative approach resulting in over 5,000 healthcare facilities delivered across the nation. For more information, visit: http://www.erdman.com/.
Forward-Looking Statements
This document contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. The forward-looking statements reflect the Company's views about future events and are subject to risks, uncertainties, assumptions and changes in circumstances that may cause actual results to differ materially. Factors that may contribute to these differences include, but are not limited to the following: market trends; our ability to obtain future financing arrangements; our ability to renew ground leases; defaults by tenants; and changes in the reimbursement available to our tenants by government or private payors. For a further list and description of such risks and uncertainties, see the reports filed by the Company with the Securities and Exchange Commission, including the Company's 2006 Annual Report on Form 10-K. Although the Company believes the expectations reflected in such forward-looking statements are based on reasonable assumptions, it can give no assurance that its expectations will be realized. The Company disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
