The Ensign Group announced Tuesday that it has acquired Zion’s Way Home Health and Hospice.
Based in St. George, Utah, Zion’s is a home and hospice agency with branch offices in Kanab, Utah and Page, Arizona. The acquisition was effective as of April 1, 2012.
“We are pleased with the measured growth and development of our home health and hospice businesses thus far, and this lateral diversification broadens Ensign’s reach into that business,” said Christopher Christensen, Ensign’s President and Chief Executive Officer. “More importantly,” he added, “the Zion’s Way acquisition reflects the increasing depth of our long-term commitment to the vibrant Southern Utah healthcare community and our existing operations there.”
Zion was founded in 2005 and will be operated by Cornerstone Healthcare, a subsidiary of Ensign Group.
“We admire the great work done by the former owners and the incredible Zion’s Way team of caregivers, and look forward to working together to strengthen our partnerships with patients and their families to provide superior care,” said Daniel Walker, Cornerstone’s President.
The acquisition adds to the list of home health care providers that Ensign has acquired over the last couple years.
According to Ensign, the company purchased the agency with cash and expects the transaction to be mildly dilutive to earnings in 2012.
Mr. Christensen reaffirmed that Ensign is actively seeking additional opportunities to acquire both well-performing and struggling skilled nursing, assisted living and other healthcare-related businesses across the United States.
Terms of the deal were not disclosed.
Written by John Yedinak