Kindred Healthcare Inc., a long-term care (LTC) and rehabilitation services provider, has agreed to acquire IntegraCare Holdings Inc. for $71 million in cash and a payment of up to $4 million that would be based on 2013 earnings.
Kindred, Louisvile, Ky. (NYSE:KND), generates about $6 billion in annual revenue from providing health care in 2,154 locations, including 118 long-term acute care hospitals, hundreds of nursing and rehabilitation centers, and 52 hospice and home care locations.
IntegraCare, Grapevine, Texas, earned about $9 million in operating income in 2011 on $71 million in revenue from running 47 home health, hospice and community-based LTC programs in Texas.
Kindred is acquiring IntegraCare From Flexpoint Ford L.L.C., Chicago, a private equity firm. Flexpoint acquired IntegraCare in 2007 from the 4 founding owners.
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Kindred hopes to get the regulatory approvals and other approvals it needs to complete the deal by Sept. 30.
Paul Diaz, chief executive officer of Kindred, says the deal should give Kindred’s home health and hospice division more than 100 locations and about $200 million in annual revenue.