Acquisitions can help a company grow and are important to understand as a result. A Baton Rouge home health company is acquiring a hospital company for $340 million. The acquisition will make the Baton Rouge home health company the third largest provider of hospice services in the United States. It expands the company’s hospice presence from 22 states to 34 states and will grow its number of hospice patients from 7,500 to 11,000 daily. The acquisition is the largest for the home health company in a decade, as it previously acquired another health services company for $390 million.
A representative for the home health company noted that the company received a good price for the acquisition. The company has a mergers and acquisitions team in Baton Rouge. The company recently expanded its offices in Baton Rouge. The acquisition is expected to close in the spring of 2019. It will leave the company with a total of 136 hospice care centers in 34 states. Acquisitions are excellent growth opportunities when the right fit is found.
As is true of any complex business transaction such as an acquisition, it is important to be thorough about the process and understand the complexities and how to address them. Legal resources can help guide an acquiring company through the due diligence process, obtaining and evaluating financials, placing an offer for the business being acquired, drafting purchase and sale documents and the overall negotiation and management of the transaction.
Provided an acquisition is well executed, it can be a positive step for a company to grow through acquisitions and the acquisition process. It is important to know how to navigate the process so that the company can enjoy a successful transaction.