Carestation Health Centres Ltd.

Carestation Health Centres Ltd.
Oxbridge Ventures, Inc.

Oxbridge Ventures, Inc.

November 18, 2008 12:28 ET

Carestation and Oxbridge Agree; $1 Billion Multi-City Investment Target on Physician Equity Model

NEW YORK, NEW YORK and VANCOUVER, BRITISH COLUMBIA--(Marketwire - Nov. 18, 2008) - Oxbridge Ventures, Inc., a New York based private investment group, today announced that it had agreed a Letter of Intent with Carestation Health Centres Ltd. to develop up to $1 billion in medically anchored commercial real estate developments over the next 10 years. Carestation is the largest full service multi-specialty practice group in the Province of British Columbia, if not Canada, with some 160 family doctors, specialists, nurses and other allied health professionals who service upwards of 500,000 patient visits annually.

Under the terms of the agreement made public today, Carestation will establish large full service multi-specialty medical practice groups in selected communities across North America, with a long term target of bringing no less than 5000 doctors in Canada and the United States into the network in practice formations with an average size of 10 or more physicians. Each practice group will be based at medical centres financed, developed and managed by Oxbridge, which will in turn offer shares to physicians as signing and performance based bonuses. No monetary or financial investment will be required on the part of physicians joining the Carestation Network, who will be able to shift all practice management costs and risks to Carestation. Up to $100 million in shares will be set aside for physicians continent wide, including up to $10 million in the Province of British Columbia alone. Oxbridge and Carestation have already tested this physician equity model to much acclaim in a number of communities across the Province of British Columbia. All current and prospective Carestation physicians will be gifted shares in medically anchored commercial real estate projects developed under the agreement announced today.

Carestation will provide practice management services to physicians and lease facilities from Oxbridge, essentially earning equity on behalf of network physicians over time on a risk free basis. Oxbridge will provide a number of value added real estate development services, including (i) proactive development, management, ownership and acquisition services, (ii) full funding for ancillary services and satellite ambulatory facilities, (iii) off balance sheet medical office building and hospital facility financing and (iv) capital provisioning for hospitals and physician groups developing healthcare facilities or replacing or expanding such facilities.

"We are extremely excited to have partnered with Oxbridge on this ambitious new project, which builds on the announcement made earlier," said Andy Rizvi, Director of Operations for Carestation Health Centres Ltd.

"We are striking just as various stresses appear in the economic system, including falling share prices, negative GDP growth, rising unemployment, and increasing defaults by formerly entrenched (and now fatally overextended) market counterparties. By acting now, when bargains abound and capital formation is severely constrained, we will be able to eventually rebuild much of the physician wealth destroyed in the recent market turbulence," said Karim Rajani, managing principal of Oxbridge Ventures, Inc.

Contact Information

  • Carestation Health Centres Ltd.
    Andy Rizvi
    Director of Operations
    (604) 638-1554
    (604) 638-1555 (FAX)
    Oxbridge Ventures, Inc.
    Karim Rajani
    Chief Executive Officer
    (646) 233-0685
    (646) 530-8509 (FAX)