LHC Group and LifePoint Health expand partnership with acquisition in Arkansas
Partnership also finalizes acquisitions in three other states
LAFAYETTE, La., Dec. 09, 2019 (GLOBE NEWSWIRE) -- LHC Group, Inc. (NASDAQ: LHCG) and LifePoint Health announced a further expansion of their joint venture (JV) partnership with an agreement to add
two additional locations – a home health provider and a hospice provider – in Bryant, Ark., that are associated with LifePoint’s Saline Memorial Hospital.
It is anticipated that this agreement will be finalized on Jan. 1, 2020, subject to customary closing conditions. LHC Group expects approximately $5.4 million in annualized revenue from this transaction.
The Bryant, Ark., home health and hospice providers will operate under the names Saline Memorial Home Health and Saline Memorial Hospice, respectively.
The partnership also announced that it has finalized previously announced additions of CMH Home Health Care (Wilmington, Ohio), Casa de la Paz Hospice (Sierra Vista, Ariz.), and St. Joseph Family Hospice (Lewiston, Idaho). With the transaction completed, LHC Group has assumed management responsibility of the agencies, which will continue to operate from their current locations and under the same names. Once the transaction announced today is finalized, LHC Group expects approximately $9.0 million in annualized revenue from these additions to the joint venture and anticipates that it will not materially affect its 2019 diluted earnings per share.
LHC Group and LifePoint Health formed their JV partnership in 2017 to share ownership and governance of LifePoint's home health agencies and hospices as well as select LHC Group agencies located near LifePoint facilities. The partnership combines the experience and expertise of both companies, creating new opportunities to develop and expand in-home services in the communities they serve. The JV is governed by a board with equal representation from both companies.
Since it was established, the LHC Group-LifePoint partnership has grown to include 49 home health and hospice locations across 10 states.
Working together, LHC Group and its partners deliver a level of in-home care that is recognized industry-wide for consistent quality. They provide affordable care options that offer the guidance, support and resources patients and families need to make an informed decision for themselves or a loved one.