LHC Group (NASDAQ: LHCG), a national non-acute health care services provider based in Lafayette, Louisiana, has partnered with Northern Arizona Healthcare (NAH) in a new joint venture to expand home health and hospice care services in Northern Arizona.
The deal comes after LHC Group announced it had an “unprecedented pipeline” for the year ahead that could produce approximately $1 billion in revenue. Approximately half the deals in this pipeline are joint ventures with health systems, the company announced in March.
LHC Group will operate NAH’s two home health agencies located in Flagstaff and Cottonwood and one hospice agency in Cottonwood. LHC Group has become the majority owner of the locations in the joint venture. NAH is the largest health care organization in the region, with more than 3,000 doctors and staff.
“We are very pleased to partner with a strong, high quality health system like Northern Arizona Healthcare,” LHC Group’s Chairman and CEO Keith G. Myers said in a statement. “NAH is already one of the top performers in the country in terms of their hospital readmission rates, and we look forward to working with their staff on improving their quality further by enhancing their patients’ non-acute care.”
NAH’s operations are anchored at its 267-bed Flagstaff Medical Center and 110-bed Verde Valley Medical Center.
“NAH is excited to have a partner such as LHC Group to take home care and hospice services to the next level,” said NAH president and CEO Rob Thames. “We continually strive to ensure we, along with our partners, provide high quality care. We believe bringing a partner on board with expertise in this specific area will allow us to become the choice for the communities we serve.”
At the end of 2015, LHC Group was the operator of 283 home health locations, 56 hospice locations, 13 community-based service locations and six long-term acute care hospitals (LTACHs) with eight locations, according to the Louisiana company.
Written by Amy Baxter