PLYMOUTH MEETING, Pa.--(BUSINESS WIRE)--AdaptHealth Corp. (NASDAQ: AHCO), the third largest home medical equipment company (HME) in the United States, today announced that it has entered into a definitive agreement with Advanced Home Care (AHC) to acquire its home medical equipment business. The proposed transaction is expected to close in the first quarter of 2020 and is subject to the satisfaction of customary closing conditions.
AHC provides home medical equipment including CPAP and BiPAP machines and supplies, oxygen, ventilation and traditional durable medical equipment to patients through its 23 branch locations in Georgia, North Carolina, South Carolina, Tennessee and Virginia. AHC is currently a joint-venture of twelve regional healthcare systems, with whom AdaptHealth expects to have ongoing business relationships following the closing of the transaction.
For the trailing twelve months ended September 2019, the home medical equipment business of AHC generated net revenues of $83 million.
Upon closing, AHC’s HME provider business will be integrated into AdaptHealth, further expanding AdaptHealth’s footprint in the Southeast. In connection with the transaction, AdaptHealth expects to sign a long-term lease for AHC’s High Point, N.C. headquarters. Seasoned leaders of the AHC executive team are expected to join the AdaptHealth leadership team.
“The Southeast represents an important market for AdaptHealth, and we are excited to expand our presence through our acquisition of Advanced Home Care’s HME business,” AdaptHealth President and COO, Josh Parnes states. “Advanced Home Care is a true leader in the industry, and we look forward to welcoming members of the management team to AdaptHealth and continue enhancing the products and services we’re able to provide to patients and healthcare professionals throughout the region.”
“Advanced Home Care has been fortunate to serve our communities since 1983,” said Joel Mills, CEO of Advanced Home Care. “In AdaptHealth, we believe we have found a forward-thinking team that will allow us to continue to provide patients and our healthcare system partners with quality products, expanded offerings, and the highest degree of service. We couldn’t be more excited to join AdaptHealth.”
About AdaptHealth Corp.
AdaptHealth Corp. (“AdaptHealth”) is the third largest home medical equipment company in the United States. AdaptHealth provides a full suite of medical products and solutions designed to help patients manage chronic conditions in the home, adapt to life and thrive. Product and services offerings include: sleep therapy equipment (CPAP and BiPAP machines and supplies), respiratory equipment (including oxygen, invasive and non-invasive ventilation), mobility equipment, wheelchairs, walkers, and hospital beds. AdaptHealth also provides custom bracing services, hospice-focused HME services, wound therapy and nutritional HME services. The company is proud to partner with an extensive and highly-diversified network of referral sources, including acute care hospitals, sleep labs, pulmonologists, skilled nursing facilities, and clinics. AdaptHealth services beneficiaries of Medicare, Medicaid and commercial insurance payors. As of September 30, 2019, AdaptHealth services over one million patients annually in 49 states through its network of 189 locations. Learn more at www.adapthealth.com.
