MECHANICSBURG, Pa., April 25, 2013 /PRNewswire/ -- Vibra Healthcare, LLC ("Vibra") today announced that through an affiliate it has signed a definitive asset purchase agreement to acquire the operations of 17 facilities from Kindred Healthcare, Inc. ("Kindred") including 15 Long Term Acute Care (LTAC) hospitals containing 1,052 licensed hospital beds, one Inpatient Rehabilitation Hospital (IRF) containing 44 beds and one Skilled Nursing Facility (SNF) containing 135 skilled nursing center beds. Vibra and Kindred expect to complete the transaction in the third and fourth quarters of 2013, pending regulatory and other approvals.
Five of the LTAC hospitals will be operated by Post Acute Medical, LLC (Post Acute Medical) located in Camp Hill, PA. Post Acute Medical owns and operates 8 LTAC hospitals and 3 IRF hospitals in an existing joint venture arrangement with Vibra.
"This transaction will expand our specialty hospital and post acute continuum of care operations in several new markets while creating expanded services in markets that Vibra already serves. The scope of this acquisition furthers our strategic plan of positioning Vibra for the evolving integrated delivery model and creating scale to better address the dynamic changes in regulatory and reimbursement policy," said Brad Hollinger, Vibra's Founder, Chairman and Chief Executive Officer. "We are confident this acquisition will enhance our long term objectives while adding value immediately upon close of the transaction.
The Facilities generated revenues of approximately $289 million and earnings before interest, income taxes, depreciation and amortization of approximately $20 million (including the allocation of approximately $9 million of overhead costs) for the year ended December 31, 2012.The transaction is subject to several regulatory approvals and other conditions to closing, including but not limited to, Vibra finalizing its financing for the transaction and the expiration of the waiting period under the Hart-Scott-Rodino Antitrust Improvement Act of 1976, as amended. Vibra and Kindred expects to complete the transaction through multiple closings occurring during the third and fourth quarters of 2013.