SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
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FORM 8-K
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Current Report Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
Date of Report (date of earliest event reported): August 17, 1998
PhyMatrix Corp.
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(Exact name of registrant as specified in its charter)
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Delaware 0-27568 65-0617076
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State or other jurisdiction of Commission File Number IRS Employer Identification No.
incorporation
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777 South Flagler Drive, Suite 1000E
West Palm Beach, FL 33401
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(Address of principal executive offices)
(561) 655-3500
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(Registrant's telephone number,
including area code)
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Item 5. Other Events.
On August 17, 1998, the Company issued the following press release:
"PHYMATRIX BOARD TO IMPLEMENT
STRATEGIC ALTERNATIVES
WEST PALM BEACH, Fla., August 17, 1998 -- PhyMatrix Corp. (Nasdaq: PHMX), today
announced that the Company's Board of Directors approved several strategic
alternatives to enhance stockholder value at its Board meeting Wednesday, August
12, 1998.
The Board authorized a series of initiatives designed to establish PhyMatrix as
the preeminent market share leader of Clinical Trials Site Management
Organizations. The Company will link its nationally focused expanding hospital
affiliations and its 92 physician networks with the Clinical Trials Site
Management operations.
The Board approved, consistent with achieving its stated restructuring goal, its
plan to divest and exit the Physician Practice Management (PPM) component and
its ancillary service businesses, which include diagnostic imaging, infusion,
home health, lithotripsy and radiation therapy.
As part of its restructuring, PhyMatrix plans to establish an integrated
development company. The Company will expand into non-healthcare development as
well as continuing medical-related projects through its wholly owned subsidiary,
DASCO. In addition, the Company announced the resignation of Bruce Rendina as
CEO and President of DASCO and the appointment of Abraham D. Gosman as CEO.
Mr. Gosman, Chairman and CEO of PhyMatrix, stated, "I look forward to adding my
many years of experience and expertise in non-healthcare related development in
a more direct hands-on manner while continuing to provide support to the growth
and success of DASCO development facility company."
Mr. Gosman continued, "After serious consideration, we clearly identified that
our strengths were in clinical trials site management, coupled with the value of
our physician provider networks and opportunity to grow our hospital
affiliations like our Beth Israel/Continuum Health Partners' agreement."
Robert Miller, President of PhyMatrix, added, "The approved initiatives will
move PhyMatrix and position it as a more clearly focused company targeted to the
fragmented, low penetration, high-growth clinical trials site management
organization business. The clinical trials site management component closely
integrates PhyMatrix's strength in its hospital affiliation and provider
networks."
This release contains forward looking statements regarding PhyMatrix's (the
Company) future plans, operations and prospects. The Company's plans and actions
could differ materially from the results anticipated in these forward-looking
statements as a result of uncertainties, including risks related to growth
acquisitions, government regulation, capital requirements and other factors
identified in PhyMatrix's filing with the Securities and Exchange Commission."
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Signature
Pursuant to the requirements of the Securities Exchange Act of 1934,
the registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
PHYMATRIX CORP.
By: /s/ Robert A. Miller
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Robert A. Miller
President
Dated: August 20, 1998
