Brookdale Agrees to Sell Majority Stake in Home Health, Hospice, Outpatient Therapy Business to HCA Healthcare for $400M

by Jeff Shaw

NASHVILLE, Tenn. — Brookdale Senior Living Inc. (NYSE: BKD), the nation’s largest operator of senior living communities, has agreed to sell a majority stake in Brookdale Health Care Services (BHS) to HCA Healthcare for $400 million.

The BHS unit offers home health, hospice and outpatient therapy services. BHS operates 57 home health agencies and 22 hospice agencies across 26 states, along with 84 outpatient therapy locations. Brookdale will retain a 20 percent stake in the business.

HCA Healthcare is one of the nation’s leading providers of healthcare services, comprising more than 2,000 sites of care. Brookdale will join HCA Healthcare’s network of care through this venture.

“The health and well-being of our residents is at the core of Brookdale’s mission,” says Lucinda “Cindy” Baier, Brookdale’s president and CEO. “The partnership with HCA Healthcare, a leading healthcare organization, will continue the high quality services delivered to our residents and patients, strengthen our liquidity position and provide meaningful opportunities for growth through better integration of services across the entire care continuum.”

The transaction represents the latest announcement in Nashville-based Brookdale’s ongoing efforts to drive meaningful shareholder value. The deal also follows Brookdale’s July 2020 lease renegotiation with Ventas Inc. and the January 2020 sale of its entry-fee continuing care retirement community venture interest to Healthpeak Properties Inc.

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