GSA Daily Staff Report
Published July 27, 2010
Addus HomeCare Corp., based in Palatine, Ill, has acquired CarePro Health Services, operated by Advantage Health Systems Inc. in Columbia. CarePro serves 1,200 patients in its five locations in South Carolina, including Greenville, and one in Georgia.
Under the terms of the transaction, total consideration from Addus to Advantage Health Systems shareholders will be up to $8.34 million – $5.1 million in cash, $1.24 million in stock and up to $2 million in earn out milestones.
"The acquisition of Advantage Health Systems offers a very attractive opportunity to expand Addus' services in the Southeast market while further enhancing our geographic and payer diversification,” Mark Heaney, president and CEO of Addus Homecare. “Advantage Health Systems' model of integrated care is consistent with Addus' model with 84% of revenues from home and community services and 16% from home health services."
Advantage Health reported revenues of $13 million in 2009 and was profitable and cash flow positive. The company offers personal care, private duty, and home health and hospice services.
"Addus HomeCare is an excellent partner for Advantage Health Systems' business,” said Paul Mitchell, president and CEO of Advantage Health Systems. “We share the same vision for providing the highest quality, integrated home health and home & community care to our patients. This partnership will only strengthen our dedication to providing superior service in the markets in which we operate and we expect this will benefit our company, patients and the communities that we serve."
Locally, Advantage Health Systems operates a CarePro location at 1901 Laurens Road in Greenville. The company has additional locations in Columbia, Florence, North Charleston, Rock Hill and Augusta, Ga.
"Advantage Health Systems is a leading provider of social services in South Carolina and holds certificates of need in two of South Carolina's most populated counties,” Heaney said. “Advantage, which has provided hospice services since 2009, also recently obtained certification for a statewide hospice operation.”
