American Shared Hospital Services Announces Signing of Joint Venture Agreement for Gamma Knife Facility in Guadalajara, Mexico

JV will Establish Company’s 4th International Center

SAN FRANCISCO, July 09, 2024 (GLOBE NEWSWIRE) — American Shared Hospital Services (NYSE American: AMS) (the “Company”), a leading provider of turnkey technology solutions for stereotactic radiosurgery and advanced radiation therapy equipment and services, today announced that it has signed a joint venture agreement to partner in a Gamma Knife treatment facility in Guadalajara, Mexico.

AMS has signed a Joint Venture (“JV”) agreement with Hospital San Javier (“HSJ”) to establish a Mexican JV (“Joint Venture”) to treat public and private cancer patients. AMS and HSJ will hold 70% and 30% ownership interests, respectively. The new Joint Venture will be upgrading HSJ’s existing Gamma Knife^® Perfexion™ system to an Esprit, Elekta’s newest Gamma Knife^® radiosurgery system. 

Gamma Knife^® radiosurgery is a gentler alternative to open surgery and conventional radiotherapy as it can target the smallest and most challenging intracranial tumors and lesions with minimal effect on healthy tissue. This vital precision safeguards motor, sensory and neurocognitive function to help protect the mind and the person.

Esprit includes a variety of innovations in a single platform and offers clinicians superior visualization, remote treatment planning that increases and improves workflow efficiency and remote accessibility, and collaboration tools designed to meet the needs of changing environments.

Hospital San Javier was the first medical institution in Mexico to offer Gamma Knife treatments starting operations in 1994. The Center will be staffed by an administrative and medical team.

“We believe that this joint venture with HSJ is a testament to AMS’ global expansion plans and is ripe with opportunity. This is an exciting transaction for AMS, and the second expansion of our international strategy into Mexico, where we will soon begin treating patients with our state of the art Elekta Linear Accelerator Versa HD at our AB Radiocirugia y Radioterapia facility in Puebla. These two operations are in addition to our existing international Gamma Knife centers in Peru and Ecuador,” said Ray Stachowiak, Executive Chairman and CEO of American Shared Hospital Services.

Ernest R. Bates, VP of Sales and Business Development at AMS, added, “As one of only two Gamma Knife facilities in the entire country of Mexico with a population of 130 million people, the Joint Venture will be at the forefront of noninvasive brain treatments in this major Latin American territory. We are excited to partner with HSJ to introduce this advanced treatment modality and provide much needed access to Mexico’s patient population.”

AMS’ JV partner, Ms. Elvia Zazueta, commented, “Our medical staff has been providing Gamma Knife^® radiosurgery treatments with great success since we opened our doors for business in 1994. Upgrading our current system with the Esprit, the latest model and first of its kind in Mexico, gives us multiple clinical options. Now we can offer even more personalized and patient-friendly treatments. Patients can return home the same day and resume their normal activities shortly after. We are excited to enter into our partnership with AMS and appreciate its support in bringing Esprit to our hospital.”

About American Shared Hospital Services (NYSE American: AMS)

American Shared Hospital Services (ASHS) is a leading provider of creative financial and turnkey solutions to cancer treatment centers, hospitals, and large cancer networks worldwide. The Company works closely with all major global Original Equipment Manufacturers (OEMs) that provide leading edge clinical treatment systems and software to treat cancer using Radiation Therapy and Radiosurgery. The Company is vendor agnostic and provides financial support for a wide range of products including MR Guided Radiation Therapy Linacs, Advanced Digital Linear Accelerators, Proton Beam Therapy Systems, Brachytherapy systems and suites, and through the Company’s subsidiary, GK Financing LLC., the Leksell Gamma Knife product and services. For more information, please visit www.ashs.com/

Safe Harbor Statement
This press release may be deemed to contain certain forward-looking statements with respect to the financial condition, results of operations and future plans of American Shared Hospital Services including statements regarding the expected continued growth of the Company and the expansion of the Company’s Gamma Knife, proton therapy and MR/LINAC business, which involve risks and uncertainties including, but not limited to, the risks of economic and market conditions, the risks of variability of financial results between quarters, the risks of the Gamma Knife and proton therapy businesses, the risks of changes to CMS reimbursement rates or reimbursement methodology, the risks of the timing, financing, and operations of the Company’s Gamma Knife, proton therapy, and MR/LINAC businesses, the risk of expanding within or into new markets, the risk that the integration or continued operation of acquired businesses could adversely affect financial results and the risk that current and future acquisitions may negatively affect the Company’s financial position. Further information on potential factors that could affect the financial condition, results of operations and future plans of American Shared Hospital Services is included in the filings of the Company with the Securities and Exchange Commission, including the Company’s Annual Report on Form 10-K for the year ended December 31, 2023, and the definitive Proxy Statement for the Annual Meeting of Shareholders that was held on June 25, 2024.

Contacts:

American Shared Hospital Services
Ranjit Pradhan, VP Of Marketing
P: (415) 788-5300 Ext 4021
rpradhan@ashs.com

Hospital San Javier
Elvia Zazueta, Director of Innovation
P: +52 333 669 0222 Ext 16060
ezazueta@hospitalsanjavier.com

PCG Advisory Inc, Investor Relations
Kirin Smith
646-823-8656
ksmith@pcgadvisory.com