ReadiCare Cancels Stock Sale

ReadiCare Inc., which operates workers’ compensation medical and rehabilitation centers, said Thursday that it had canceled plans for a secondary public offering this week of 1.75 million shares of company stock.

“The company believes that current market conditions are unfavorable to effect the completion of the stock offering at a price and on a basis that would be in the best interest of the company and its stockholders,” ReadiCare President Dennis G. Danko said in a statement.

The company’s stock, which is traded over the counter, rose from $6.875 per share a week ago to a closing price of $7.75 Wednesday. That price rise made the offering less attractive to investors.

The stock closed Thursday at $7.875, up 12.5 cents, after announcement of the canceled offering.

ReadiCare had hoped to raise about $12 million in the sale. Danko said the decision would not affect ReadiCare’s plans to open six new workers’ compensation centers during the second and third quarters. The centers will be financed by cash from operations, the company said. ReadiCare now operates 46 centers in California, Nevada and Washington.