Premier, Inc. (NASDAQ: PINC), a leading healthcare improvement company, today announced that its Board of Directors has declared a quarterly cash dividend of $0.19 per share, or $0.76 on an annualized basis, on the company’s shares of Class A common stock. Premier’s first dividend payment will be made on September 15, 2020 to stockholders of record as of the close of business on September 1, 2020.
“Our initiation of a common stock dividend demonstrates our commitment to delivering value to our stockholders and underscores our confidence in the strength, stability and future prospects of our company,” said Susan DeVore, Premier’s Chief Executive Officer and a member of the company’s Board.
“With our consistent, strong cash flow generation and solid balance sheet, we expect to have ample liquidity to return capital to stockholders while continuing to invest in the business to drive long-term growth and value-creation,” said Craig McKasson, Premier’s Chief Administrative and Financial Officer.
In a separate press release issued today, Premier announced that it has eliminated its dual-class ownership structure and terminated its Tax Receivable Agreements.
The company also announced today that it has entered into amended Group Purchasing Organization (GPO) agreements with a vast majority of its member-owners. The amended GPO agreements are expected to support sustainable, long-term growth of net administrative fees revenue and enhance the company’s flexibility to invest in strategic initiatives to deliver additional value for members and stockholders.
About Premier, Inc.
Premier, Inc. (NASDAQ: PINC) is a leading healthcare improvement company, uniting an alliance of more than 4,000 U.S. hospitals and health systems and approximately 175,000 other providers and organizations to transform healthcare. With integrated data and analytics, collaboratives, supply chain solutions, and consulting and other services, Premier enables better care and outcomes at a lower cost. Premier plays a critical role in the rapidly evolving healthcare industry, collaborating with members to co-develop long-term innovations that reinvent and improve the way care is delivered to patients nationwide. Headquartered in Charlotte, N.C., Premier is passionate about transforming American healthcare. Please visit Premier’s news and investor sites on www.premierinc.com; as well as Twitter, Facebook, LinkedIn, YouTube, Instagram and Premier’s blog for more information about the company.
Statements made in this release that are not statements of historical or current facts, such as our expected cash flow generation, balance sheet strength and sufficient liquidity to return capital to stockholders, are “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements may involve known and unknown risks, uncertainties and other factors that may cause the actual results, performance or achievements of Premier to be materially different from historical results or from any future results or projections expressed or implied by such forward-looking statements. Accordingly, readers should not place undue reliance on any forward-looking statements. The actual declaration of any future cash dividends, and the setting of record and payment dates as well as the per share amounts, will be at the discretion of our board each quarter after consideration of various factors, including our capital position and alternative uses of funds.