Kindred Healthcare to acquire Ohio home health providers
Subsidiaries of long-term care giant Kindred Healthcare have signed an agreement to acquire Signature Health Services, LLC, a home health company in Ohio.
Louisville, Ky.-based Kindred expects to finance the transaction with proceeds from its revolving credit facility. The financial terms of the transaction were not disclosed.
Akron, Ohio-based Signature operates 10 locations primarily in the central and northeastern regions of Ohio. Kindred owns two long-term acute care hospitals and nine nursing and rehabilitation centers within the service areas of these operations, and its home care and hospice business provides hospice services in Columbus and Dayton.
“This transaction provides us with a great opportunity to expand our home health operations and allows us to enhance our service offerings in our Cleveland and Columbus, Ohio cluster markets,” said Paul J. Diaz, Kindred’s president and CEO. “We look forward to these new employees joining our organization and believe we can provide our new colleagues with enhanced opportunities for professional growth and development.”
According to Diaz, the assets being acquired currently generate annualized revenues of approximately $13.4 million and earnings before interest, income taxes, depreciation and amortization of approximately $2.3 million.
The transaction is subject to several regulatory approvals and other conditions to closing and is expected to close by the end of the year.
Through its subsidiaries, Kindred operates 83 long-term acute care hospitals, 223 nursing and rehabilitation centers and a contract rehabilitation services business which serves 327 non-affiliated facilities.
