Kindred Healthcare to acquire CareSouth
Kindred Healthcare has acquired the California operations of CareSouth HHA Holdings.
The financial terms of the transaction were not disclosed. The transaction was financed with proceeds from Kindred’s revolving credit facility.
[See related story: Kindred Healthcare expands borrowing capacity]
CareSouth operates four locations in southern California and the San Jose market. Kindred, a Louisville, Ky.-based health services company that is among the 200 largest in the country, operates 13 long-term acute care hospitals, two nursing and rehabilitation centers and one sub-acute unit within the service areas of these home health operations.
The assets being acquired generated revenues of approximately $11 million in fiscal year 2010.
“Expanding our home health operations provides us the opportunity to continue the care for our patients and residents who are discharged from hospitals and nursing and rehabilitation centers,” said Paul J. Diaz, president and chief executive officer of Kindred.
