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Cross Country Healthcare Announces Agreement to Sell Its Clinical Trial Services Business

Cross Country Healthcare Announces Agreement to Sell Its Clinical Trial Services Business

Cross Country Healthcare, Inc. (Nasdaq: CCRN) announced today it has entered into an agreement to sell its clinical trial services business to ICON plc (NASDAQ: ICLR) for $52 million, plus an earn-out of up to $3.75 million related to certain performance-based milestones. Consummation of the transaction is subject to the completion of certain closing conditions. This transaction is expected to be completed within the next 30 days. Cross Country Healthcare intends to use a portion of the net proceeds from this transaction to retire all of its outstanding bank debt.

"Our clinical trial services business has been a meaningful contributor to our Company for more than a decade. We decided to divest this business as a result of an extensive review of our operations and the changing landscape in the pharmaceutical research and development outsourcing industry. Selling this business is a logical step as we narrow our focus and concentrate our resources on our core nurse and allied staffing and our physician staffing businesses, which pro forma would represent about 90% of our consolidated revenue," said Joseph A. Boshart, President and Chief Executive Officer of Cross Country Healthcare, Inc. "I would especially like to thank all of our clinical trial services employees for their contributions over the years and I am pleased we could find them an outstanding new home as part of the ICON team," added Mr. Boshart.

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