Almost Family Acquires WillCare HealthCare in Large Home Health Deal

by Jeff Shaw

BUFFALO, N.Y. — Almost Family, Inc. (Nasdaq: AFAM), a provider of home health nursing services, has signed a definitive agreement to acquire the stock of WillCare HealthCare.

Buffalo-based WillCare, a provider of skilled home health and personal care services, generated $72 million in revenue in 2014 and currently operates 16 branch locations in three states. With this acquisition, Louisville, Ky.-based Almost Family will operate over 230 branches across 15 states. The company expects its annual net revenue run rate to approach $600 million.

The acquisition is expected to cost $46 million to $53 million based on earnings prior to closing and subject to a working capital adjustment. The transaction will be funded from Almost Family’s recently announced new $175 million senior secured revolving credit facility. Almost Family expects to close the Ohio portion of the transaction in early March.

WillCare is one of the largest proprietary home health operators in the state of New York (a certificate of need state) with 11 branches located in the Buffalo area and in the Hudson Valley area north of New York City. WillCare also operates three branches in Connecticut and one in northeast Ohio. The acquisition increases the size of Almost Family’s personal care segment by nearly one-third.

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