By Allison Bell
A subsidiary of KindredHealthcare (NYSE:KND) has agreed to acquire Homecare Advantage for about $2 million in cash.
Kindred, a long-term care (LTC)
and rehabilitation services provider, generates about $2 billion in annual revenue from running facilities in more than 2,000 locations.
Homecare Advantage gets about $2.5 million in annual revenue from providing home care
services in the Los Angeles area.
The deal will help Kindred expand its Los Angeles operations, the company said.
Kindred already has a nursing and rehabilitation center, nine transitional care hospitals, one hospital-based sub-acute unit, three home health care locations and three hospital-based acute rehabilitation units in the Los Angeles area.
Paul Diaz, the chief executive officer of Kindred, said his company is still shopping for home care and hospice
This is a good time to expand a post-acute care business because of public and private health plans' interest in integrating different types of care, Diaz said.
Originally published on LifeHealthPro.com