Lafayette, La.-based LHC Group agreed to enter into an all-stock merger-of-equals transaction with Louisville, Ky.-based Almost Family Nov. 16, following a definitive merger agreement unanimously approved by the boards of directors for both organizations.
Under the deal, Almost Family shareholders will receive a 0.92 share of LHC Group for each existing share in Almost Family. Once the deal closes, LHC Group shareholders will collectively maintain a 58.5 percent stake in the merged entity, while Almost Family shareholders will own 41.5 percent of the combined company.
The proposed merger of the two organizations will result in a combined entity comprising 781 facilities in 36 states, with more than 31,000 employees and $1.8 billion in revenue.
The merged entity will be governed by a board of directors comprising 10 individuals, six of whom will be from LHC Group. Keith G. Myers, chairman and CEO of LHC Group, will become chairman and CEO of the combined entity.
Officials expect to complete the transaction during the first half of 2018, subject to customary regulatory approval and customary closing conditions.
"Almost Family shares our vision for making a difference in the communities we serve by delivering quality, outcomes-focused, patient-centered care to the most vulnerable in society. This merger is truly a transformative event for both our companies and our patients nationwide and a unique opportunity to bring more than 30,000 dedicated and talented employees together to lead the in-home healthcare industry’s transition to value-based reimbursement and highly coordinated care," said Mr. Myers.