Envision Healthcare (EVHC) merger with Amsurg (AMSG)

Envision Healthcare completed its merger with Amsurg on 12/1/2016. Both companies merged into a temporary company, NewCo. The temporary company then took the old name and ticker symbol of Envision Healthcare, EVHC.

The SEC filing for this merger (S-4A filing of 10/6/2016) was found through the Investor Relations area of the Envision Healthcare web site.

 

This merger is a simple merger for Amsurg shareholders. It is a little more complicated for Envision Healthcare shareholders. The information below is based on the information available from the S-4 filed with the SEC. Price information is from websites offering historical prices.

Read the instruction through first especially if you were an EVHC shareholder before the merger. EVHC shareholders have options on how to enter this merger. The transactions to use also differ a bit depending on whether you use Club Accounting 3 or Myiclub.com. This document gives all options for both accounting platforms. Do not mix options and platforms.

 

The Merger Entry for Amsurg shareholders

Go to Transactions > Merger or Accounting > Securities > Record merger of securities depending on the version of the software being used. If you are unfamiliar with merger transactions you can get help at this URL: https://www.iclub.com/support/kb/default.asp?page=normal_merger

 

Here is the information you need to complete the merger for Amsurg shareholders.

Date: 12/1/2016

Old Security or Merging Company: Amsurg (AMSG)

Price per share of old Security / AMSG : use you last valuation price

Cash received:  See your broker statement for cash-in-lieu

New Security: Envision Healthcare  (EVHC)

Shares received : 1.0 x (#of AMSG shares owned)

            (Remember to include fractional shares.)

 For example, if you owned 100 AMSG shares, you should receive 1.0 x 100 = 100 EVHC shares.

Save the transaction and the merger has been entered.

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The Merger Entry for Envision Healthcare shareholders

EVHC shareholders have an option in how to enter this transaction. Since the merged company chose to use the Envision name and ticker symbol, EVHC shareholders can treat this as a reverse stock split or as a merger. Myiclu.com users may wish to treat this as a reverse split as multiple steps are needed to merge two companies with the same ticker symbol before and after the merger. The holding period and cost basis of the new EVHC will be the same whether you choose to enter this as a reverse split or as a merger.

 

Information needed to treat this transaction as a reverse stock split for both Club Accounting 3 and Myiclu.com users.

Date: 12/1/2016

Company: Envision Healthcare (EVHC)

Split ratio: 33.4 for 100

Cash received:  See broker statement for cash-in-lieu received

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Information needed to treat this transaction as a merger for Club Accounting 3 users.

For Club Accounting 3 users it is easier to change the name and ticker symbol of Envision before the merger transaction. Go to the Envision security profile. Change the name to NewCo and the symbol to NEWCO. Create a new profile for the new Envision Healthcare with ticker symbol  EVHC. After this is completed merge NewCo into EVHC

 

Go to Transactions > Merger or Accounting > Securities > Record merger of securities depending on the version of the software being used. If you are unfamiliar with merger transactions you can get help at this url: https://www.iclub.com/support/kb/default.asp?page=normal_merger

 

Here is the information you need to complete the merger for Envision shareholders.

Date: 12/1/2016

Old Security or Merging Company: NewCo (NEWCO)

Price per share of old Security /: use you last valuation price for old EVHC

Cash received:  See your broker statement for cash-in-lieu

New Security: Envision Healthcare  (EVHC)

Shares received : .334 x (#of old EVHC shares owned)

            (Remember to include fractional shares.)

 For example, if you owned 100 old EVHC shares, you should receive .334 x 100 = 33.4 EVHC new shares.

Save the transaction and the merger has been entered.

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Information needed to treat this transaction as a merger for Myiclub.com users.

Myiclub uses ticker symbols to identify companies. This poses a problem when the merged company uses the ticker symbol of a one of the merging companies. This can be bypassed by entering 2 mergers. The first merger is into a placeholder company, NewCo, with ticker symbol NEWCO. This is followed by a merger of NewCo into the new Envision Healthcare, EVHC. This actually mirrors the process used by the companies in this merger. This is more work so Myiclub.com users may want to choose the easier reverse split method for this merger. The holding period and cost basis of the new EVHC will be the same whether you choose to enter this as a reverse split or as a 2 mergers.

Merger 1

Go to Transactions > Merger or Accounting > Securities > Record merger of securities depending on the version of the software being used. If you are unfamiliar with merger transactions you can get help at this URL: https://www.iclub.com/support/kb/default.asp?page=normal_merger

 

Here is the information you need to complete the merger for Envision shareholders.

Date: 11/30/2016

Old Security or Merging Company: Envision Healthcare (EVHC)

Price per share of old Security /: use you last valuation price for old EVHC

Cash received:  See your broker statement for cash-in-lieu

New Security: NewCo (NEWCO)

Shares received : 1.0 x (#of old EVHC shares owned)

            (Remember to include fractional shares.)

 For example, if you owned 100 old EVHC shares, you should receive 1.0 x 100 = 100 NewCo shares.

Save the transaction and the merger has been entered.

 

Merger 2

Go to Transactions > Merger or Accounting > Securities > Record merger of securities depending on the version of the software being used. If you are unfamiliar with merger transactions you can get help at this URL: https://www.iclub.com/support/kb/default.asp?page=normal_merger

 

Here is the information you need to complete the finish the merger for Envision shareholders.

Date: 12/1/2016

Old Security or Merging Company: NewCo (NEWCO)

Price per share of old Security /: use you last valuation price for old EVHC

Cash received:  See your broker statement for cash-in-lieu

New Security: Envision Healthcare (EVHC)

Shares received: .334 x (#of old EVHC shares owned)

            (Remember to include fractional shares.)

 For example, if you owned 100 old EVHC shares, you should receive .334 x 100 = 33.4 EVHC new shares.

Save the transaction and the merger has been entered.

 

Notice: If you use the merger procedure the return figures on the Valuation Statement will use the market value on the merger date and the merger date as the starting point for new Envision shares. If the reverse split option is used, the original purchase date and purchase cost will be used as the starting point for the return figures on the Valuation Statement for the merged company.