GLENDALE and PLEASANTON, Calif. — Two California-based, nonprofit seniors housing owner/operators have announced plans to merge, creating the largest nonprofit seniors housing provider in California, according to the two companies.
Pleasanton-based American Baptist Homes of the West (ABHOW) and Glendale-based be.group, made the announcement Tuesday. The unified company will provide continuing care, affordable housing, assisted living and memory support to 9,800 residents in 83 communities across California, Arizona, Nevada, Washington and Oklahoma.
“We are merging to better serve older adults,” says David Ferguson, ABHOW’s CEO, following a signing ceremony in San Jose. “We believe a combined organization will have greater strength, stability, scale and resources to meet the changing needs of a growing senior living market.”
When the merger is finalized, Ferguson will become executive advisor to aid in the transition until his official retirement from ABHOW in early 2017. Ferguson has been with the company for 25 years.
John Cochrane, be.group CEO, will assume leadership of the combined organization at the close of the merger.
“ABHOW and be.group have worked together for many years in our state and national associations, and our missions have united us,” said Cochrane, who has led the company since 2009.
The merger must be approved by several state agencies. During this review period, the two companies will conduct due diligence regarding finances, operations and development plans.
Upon regulatory approval, the two companies will merge, which is expected to occur early next year.