Business Briefs: HealthSouth, Amedisys
HealthSouth Increases Credit Revolver
HealthSouth Corporation (NYSE: HLS) has amended the credit agreement governing its senior secured credit facility, increasing its revolver to $700 million from $600 million. HealthSouth is one of the nation’s largest post-acute care providers, offering both facility- and home-based services in 36 states and Puerto Rico through inpatient rehabilitation hospitals, home health agencies and hospice.
The amendment also decreased the balance of its term loan facilities by approximately $110 million to $300 million; reduced the spread used to calculate the applicable interest rate by 25 basis points; extended the agreement’s maturity by two years to 2022; and changed the covenants to allow for additional investment and restricted payment capacity and additional capacity for capital expenditures.
Amedisys Closes Intercity Home Care Acquisition
A subsidiary of Amedisys, Inc. (Nasdaq: AMED), Associated Home Care, has closed the acquisition of Intercity Home Care, a personal care provider based in Malden, Massachusetts.
Intercity Home Care was founded in 1967 and is a family-owned company providing personal care, homemaking and companionship services, professional nursing, transportation, and grocery and laundry delivery. Associated Home Care acquired all assets of Intercity, which has four locations that serve patients in the Greater Boston, North Shore and Merrimack Valley communities.
Amedisys’ personal care division now serves 19,000 clients in Massachusetts.
Amedisys also announced it has fully implemented Forcura to facilitate paperless document management, mobile communication and integration with its EHR, Homecare Homebase. Forcura is the strategic partner of Homecare Homebase.
Amedisys has implemented Forcura at 417 office locations around the country, eliminating the provider’s internal management and most of its massive fax infrastructure. Forcura’s platform is a document management and secure mobile communication platform specifically for home health and hospice.
Maxim Healthcare Services Increases Credit Facility
Capital One provided a $30 million increase to its senior secured, asset-based revolving credit facility for Maxim Healthcare Services, raising the total commitment to $155 million. Maxim plans to use the proceeds for growth and working capital needs.
Maxim is one of the nation’s largest home heath, medical staffing and immunization service providers in the U.S., with more than 200 branches in more than 40 states.
Pennsylvania Providers Combine Home Health and Hospice Services
Erie, Pennsylvania-based Saint Vincent Hospital and LECOM Health have signed a letter of intent to combine home health and hospice services. Under the terms of the letter, the Visiting Nurse Association of Erie County and Regional Home Health and Hospice will combine resources.
The merger aims to provide more effective and efficient services to the community amid a shortage in nursing supplies and expert clinicians to provide home-based and end-of-life care, YourErie reported.
The consolidation is subject to regulatory approval, and is likely to close in the fourth quarter of 2017.
Written by Amy Baxter