AdCare Completes $8.2 Million Acquisition of Ga. Skilled Nursing Facility
AdCare Health Systems, Inc. (NYSE MKT:ADK) announced on Tuesday it had completed a previously announced agreement to purchase a skilled nursing facility located in Glennville, Ga. for $8.2 million.
The Glenview Health and Rehabilitation center has 134 beds and generates an estimated $6.4 million in annualized gross revenues, according to its most recent financials.
AdCare financed the acquisition with a traditional bank loan.
“Glenview expands our presence in Georgia, joining the 13 facilities we already operate in Georgia,” said Chris Brogdon, AdCare’s chief acquisition officer, in a statement. “It’s also in line with our expansion in the Southeast. We expect this new facility to leverage our management and administrative infrastructure, thereby improving its EBITDA margin.”
The long-term care provider plans to continue pursuing an “active” M&A program throughout the second half of the year, and is currently considering several opportunities in the South. The company’s estimated annualized run-rate is expected to exceed $250 million this year, representing an increase of more than 67% from its 2011 revenues—and nine times higher since initiating its M&A campaign.
Written by Alyssa Gerace
Category: Acquisitions, Senior Care, Senior Housing, Skilled Nursing
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