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Amedisys, a home healthcare, hospice and personal care company, is acquiring New Jersey-based hospice care provider Compassionate Care Hospice (CCH) for a fixed price of $340 million.
The transaction positions Amedisys to become the third largest hospice provider in America.
Compassionate is a community-based organization founded in 1993, serving approximately 3,300 patients daily and employs more than 2,300 hospice professionals in 53 locations across 24 states. The company generates approximately $188 million in annual revenues, with an adjusted EBITDA of $27 million. According to the company, the transaction value $340 million is inclusive of $50 million in payments related to a tax asset and working capital.
The deal is expected to close by Feb. 1, 2019.
“By joining forces with Compassionate Care Hospice, we at Amedisys are strengthening our hospice family and gaining the privilege to build a team that can serve more patients in more places,” said Amedisys CEO and president Paul Kusserow. “This also demonstrates that we’re delivering on our promise to our shareholders and employees to expand our hospice footprint. I’m proud to welcome these outstanding caregivers into the Amedisys family as we bring together two organizations committed to patients and outstanding clinical quality.”
Compassionate Care Hospice chief executive officer Judy Grey, said: “In coming together with Amedisys, we’re destined to create a hospice organization that sets a new standard in the industry. Our mission of affirming life during its final stages by providing holistic and compassionate care to patients and their families aligns perfectly with Amedisys’ commitment to honoring life through clinical excellence.”
Amedisys,Healthcare, hospice, Paul Kusserow, US