Kindred Healthcare, Inc. (NYSE:KND) announced that its subsidiary purchased Homecare Advantage for approximately $2 million in cash.
Based in Los Angeles, California, Homecare Advantage provides services in the surrounding areas and generates revenues of approximately $2.5 million per year.
The Homecare Advantage location will allow Kindred to expand its service area and operations in the Los Angeles market, which currently includes one nursing and rehabilitation center, nine transitional care hospitals, one hospital-based sub-acute unit, three home healthcare locations and, through its RehabCare division, three hospital-based acute rehabilitation units.
The Company financed the transaction with operating cash flows and proceeds from its revolving credit facility. Homecare Advantage had no outstanding long-term debt at closing.
“Homecare Advantage will allow us to continue expanding our continuum of post-acute services in our key Los Angeles integrated care market enabling us to better “Continue the Care” for our patients throughout a post-acute episode,” said Paul J. Diaz, chief executive officer of Kindred.
Kindred is based in Louisville, Kentucky and has annual revenues of $6 billion and employs approximately 78,000 employees in 46 states.
Written by John Yedinak