We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies. Cookie Policy.

Features Partner Sites Information LinkXpress
Sign In
Advertise with Us

Download Mobile App




Kindred Healthcare Acquires Gentiva Health Services

By HospiMedica International staff writers
Posted on 15 Feb 2015
Print article
Kindred Healthcare (Louisville, KY, USA) has completed the acquisition of Gentiva Health Services (Atlanta, GA, USA), in a deal that will turn Kindred into the fourth largest operator of long-term acute care hospitals and inpatient rehabilitation facilities in the United States. The deal was concluded for about USD 720 million in cash and stock, but when including the assumption of outstanding, it is valued at USD 1.8 billion.

The combined company will have 109,000 employees in hundreds of long-term acute-care hospitals, inpatient rehabilitation facilities, skilled-nursing facilities, and hospices. It is projected to have annual revenue of about USD 7.1 billion, with 70% coming from government programs such as Medicare and Medicaid, despite recent payment cuts for many services. Kindred Healthcare expects, however, that the combined company will find good sales-growth opportunities due to the aging population and the health-care system’s push to transfer more care into patients’ homes.

Gentiva, a large provider of hospice services and at-home nursing care and physical therapy, also offers skilled nursing, physical, occupational, speech and neurorehabilitation services, in addition to hospice services. It is also involved in social work, nutrition, disease management education, and other therapies and services. The company had downsized in recent quarters amid the tougher federal reimbursement, prompting Kindred to initiate a hostile takeover in July 2014. Gentiva rejected several of Kindred's bids up to the merger offer.

“Kindred now has an expanded breadth of offerings, broad geographic footprint, and enhanced presence in our integrated care markets that we believe will drive more efficient and cost-effective coordinated care,” said Benjamin Breier, president of Kindred Healthcare. “We are pleased with the strong operating trends in both companies in the back half of 2014 and strong momentum going into 2015.”

“Over the last eight weeks, we undertook a robust due diligence process and worked closely and constructively with our counterparts at Gentiva to better understand their operations, financial results, and outlook,” said Paul Diaz, CEO of Kindred Healthcare. “This process confirmed the compelling strategic rationale and industrial logic of this combination, as well as our belief that this transaction is in the best interests of both companies and our respective shareholders, patients, employees and business partners.”

Related Links:

Kindred Healthcare
Gentiva Health Services


Gold Member
SARS‑CoV‑2/Flu A/Flu B/RSV Sample-To-Answer Test
SARS‑CoV‑2/Flu A/Flu B/RSV Cartridge (CE-IVD)
Gold Member
POC Blood Gas Analyzer
Stat Profile Prime Plus
Silver Member
Compact 14-Day Uninterrupted Holter ECG
NR-314P
New
Hydrogen Peroxide Sterilizer
HMA-30

Print article

Channels

Critical Care

view channel
Image: The permeable wearable electronics developed for long-term biosignal monitoring (Photo courtesy of CityUHK)

Super Permeable Wearable Electronics Enable Long-Term Biosignal Monitoring

Wearable electronics have become integral to enhancing health and fitness by offering continuous tracking of physiological signals over extended periods. This monitoring is crucial for understanding an... Read more

Surgical Techniques

view channel
Image: NTT and Olympus have begun the world\'s first joint demonstration experiment of a cloud endoscopy system (Photo courtesy of Olympus)

Cloud Endoscopy System Enables Real-Time Image Processing on the Cloud

Endoscopes, which are flexible tubes inserted into the body's natural openings for internal examination and biopsy collection, are becoming increasingly vital in medical diagnostics. Their minimal invasiveness... Read more

Patient Care

view channel
Image: The newly-launched solution can transform operating room scheduling and boost utilization rates (Photo courtesy of Fujitsu)

Surgical Capacity Optimization Solution Helps Hospitals Boost OR Utilization

An innovative solution has the capability to transform surgical capacity utilization by targeting the root cause of surgical block time inefficiencies. Fujitsu Limited’s (Tokyo, Japan) Surgical Capacity... Read more

Health IT

view channel
Image: First ever institution-specific model provides significant performance advantage over current population-derived models (Photo courtesy of Mount Sinai)

Machine Learning Model Improves Mortality Risk Prediction for Cardiac Surgery Patients

Machine learning algorithms have been deployed to create predictive models in various medical fields, with some demonstrating improved outcomes compared to their standard-of-care counterparts.... Read more

Point of Care

view channel
Image: The PATHFAST hs-cTnI-II high-sensitivity troponin assay has been developed for the PATHFAST Biomarker Analyzer (Photo courtesy of Polymedco)

POC Myocardial Infarction Test Delivers Results in 17 Minutes

Chest pain is the second leading cause of emergency department (ED) visits by adults in the United States, generating over 7 million visits annually. In the event of a suspected heart attack, physicians... Read more
Copyright © 2000-2024 Globetech Media. All rights reserved.