LOUISVILLE, Ky.–(Dec. 17, 2012)– Kindred Healthcare Inc. (NYSE:KND) today announced its subsidiary has acquired Homecare Advantage, Inc. of Southern California for approximately $2 million in cash.
Homecare Advantage is a high-quality provider of home health services which operates one location in the Los Angeles, Calif., market and provides services in Los Angeles and Orange counties.
Homecare Advantage currently generates annualized revenues of approximately $2.5 million. 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.
Kindred 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 Our Care’ for our patients throughout a post-acute episode,” said Paul J. Diaz, CEO of Kindred. “We look forward to finding additional opportunities to expand our Homecare and Hospice services in 2013. We believe that the further expansion of our continuum of post-acute care services in our key integrated care markets supports the growing interest among patients, physicians, hospital systems and public and private payors for high-quality, patient-centered integrated care.”
Kindred Healthcare, Inc., a top-125 private employer in the United States, is a FORTUNE 500 healthcare services company based in Louisville, Kentucky with annual revenues of $6 billion and approximately 78,000 employees in 46 states.