ATLANTA, Aug. 17 /PRNewswire-FirstCall/ -- Gentiva Health
Services, Inc. (Nasdaq: GTIV) ("Gentiva" or "the Company"), a
leading provider of home health and hospice services, today
announced the closing of its acquisition of Odyssey HealthCare,
Inc. (Nasdaq: ODSY) ("Odyssey") in an all cash transaction for a
price of $27 per share of Odyssey
common stock, without interest, for an aggregate purchase price of
approximately $1.0 billion, including
fees and expenses.
The combination of Gentiva and Odyssey creates the largest US
healthcare provider of home health and hospice services based on
revenue. Annualized pro forma revenues for the twelve months
ended July 4, 2010 exceeded
$1.88 billion, of which approximately
59% related to home health services and approximately 41% related
to hospice services. The combined hospice operations of
Odyssey and Gentiva provide care to an average daily patient census
of approximately 14,000 in 30 states. Gentiva raised
approximately $1.1 billion in new
debt financing to fund the purchase price and refinance existing
debt.
"I would like to welcome all of the Odyssey employees to the
Gentiva family and I look forward to building the best home care
company in America with their help," commented Gentiva CEO
Tony Strange. "This is truly a
transformational transaction for both companies, creating the
largest home health and hospice company in the US, providing
service to over 330,000 patients and families annually. Given
both companies positive track records, I expect integration will
move quickly and seamlessly."
About Gentiva Health Services, Inc.
Gentiva Health Services, Inc. is a leading provider of home
health and hospice services, delivering innovative, high quality
care to patients across the United
States. Gentiva is a single source for skilled nursing;
physical, occupational, speech and neurorehabilitation services;
hospice services; social work; nutrition; disease management
education; help with daily living activities; and other therapies
and services. GTIV-G
Forward-Looking Statement
Certain statements contained in this news release, including,
without limitation, statements containing the words "believes,"
"anticipates," "intends," "expects," "assumes," "trends" and
similar expressions, constitute "forward-looking statements" within
the meaning of the Private Securities Litigation Reform Act of
1995. Forward-looking statements are based upon the Company's
current plans, expectations and projections about future events.
However, such statements involve known and unknown risks,
uncertainties and other factors that may cause the actual results,
performance or achievements of the Company to be materially
different from any future results, performance or achievements
expressed or implied by such forward-looking statements. These
factors include, among others, the following: economic and business
conditions, including the ability to access capital markets;
demographic changes; changes in, or failure to comply with,
existing governmental regulations; the impact on our Company of
recently passed healthcare reform legislation and its subsequent
implementation through governmental regulations; changes in
Medicare, Medicaid and commercial payer reimbursement levels; the
outcome of any inquiries into the Company's operations and business
practices by governmental authorities; the Company's ability to
consummate the Odyssey acquisition and effectively integrate
Odyssey's operations; effects of competition in the markets in
which the Company operates; liability and other claims asserted
against the Company; ability to attract and retain qualified
personnel; availability and terms of capital; loss of significant
contracts or reduction in revenues associated with major payer
sources; ability of customers to pay for services; business
disruption due to natural disasters, pandemic outbreaks, or
terrorist acts; ability to successfully integrate the operations of
acquisitions the Company may make and achieve expected synergies
and operational efficiencies within expected time-frames; effect on
liquidity of the Company's debt service requirements; and changes
in estimates and judgments associated with critical accounting
policies and estimates. For a detailed discussion of certain of
these and other factors that could cause actual results to differ
from those contained in this news release, please refer to the
Company's various filings with the Securities and Exchange
Commission (SEC), including the "Risk Factors" section contained in
the Company's annual report on Form 10-K for the year ended
January 3, 2010, as
supplemented in the Company's quarterly report on Form 10-Q for the
second quarter ended July 4,
2010.
Financial and Investor
Contact:
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Eric Slusser
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770-951-6101
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eric.slusser@gentiva.com
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or
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Brandon Ballew
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770-221-6700
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brandon.ballew@gentiva.com
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Media Contact:
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Scott Cianciulli
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Brainerd
Communicators
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212-986-6667
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cianciulli@braincomm.com
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SOURCE Gentiva Health Services, Inc.
Copyright . 17 PR Newswire