Aveanna Healthcare completes the acquisition of Comfort Care

ATLANTA, Dec. 13, 2021 (GLOBE NEWSWIRE) – Aveanna Healthcare Holdings Inc. (NASDAQ: AVAH), a leading, diverse home care platform focused on providing care to medically complex and expensive patient populations, announced today that it has successfully completed the acquisition of Comfort Care, a leading adult home and palliative care company with operations in Alabama and Tennessee, for $ 345 million, which represents a value of $ 290 million, net of the present value of approximately $ 55 million in estimated net tax benefits. Comfort Care is expected to be fully integrated with Aveanna in 2022, with the majority of the onboarding process taking place within the first 180 days.

Founded in 2000, Comfort Care provides both skilled home care and hospice palliative care services to the traditional Medicare patient population through a network of 31 sites, primarily in the state of Alabama, with a growing presence. in Tennessee. Comfort Care generates annual revenue of approximately $ 100 million based on a going rate, with approximately 47% of its revenues from home health care and approximately 53% of its revenues from palliative care services .

Rod Windley, Executive Chairman of Aveanna, commented, “The addition of Comfort Care advances Aveanna’s strategy of expanding our home and hospice care segment by adding density in demographically attractive markets for skilled adult care services. Comfort Care has a well-established reputation in Alabama, a growing presence in Tennessee, and a strong leadership team that will allow us to deliver Aveanna’s high standards of care to even more patients and families. We are delighted to welcome the talented professionals and exceptional capabilities of Comfort Care to Aveanna, enhancing our ability to serve quickly. promising and attractive markets. “

Alan G. Parker, CEO of Comfort Care, said: “At Comfort Care, we have always been committed to providing our patients with the highest level of quality care with empathy and professionalism. We were drawn to Aveanna because they share these same core values. We look forward to continuing to grow and be a part of the Aveanna family. “

Aveanna funded the Comfort Care acquisition from a combination of sources, including: i) proceeds from a new $ 415 million term loan closed on December 10, 2021; (ii) proceeds from a new $ 150 million securitization facility closed on November 12, 2021; and iii) balance sheet liquidity.

Edge Healthcare Partners acted as financial advisor to Aveanna and Greenberg Traurig, LLP, its legal advisor. Edgemont Partners acted as financial advisor to Comfort Care and Butler Snow, LLP as legal advisor.

About Aveanna Santé

Aveanna Healthcare is headquartered in Atlanta, Georgia, and has offices in 30 states providing a wide range of pediatric and adult health services, including nursing, rehabilitation services, professional nursing in schools, therapy services, day treatment centers for medically fragile and chronically ill children and adults. , home and palliative care services, as well as the delivery of enteral nutrition and other products to patients. The Company also provides case management services to assist families and patients by coordinating service delivery between insurers or other payers, physicians, hospitals and other health care providers. In addition, the Company provides respite care services, which are temporary caregiver services provided to support the patient’s normal caregiver. The Company’s services are designed to provide a high-quality, low-cost alternative to prolonged hospitalization. For more information, please visit www.aveanna.com.

Forward-looking statements

Certain matters discussed in this press release constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. All statements (other than statements of historical fact) in this press release concerning our prospects, plans, financial condition , our business strategy and expected financial and operational results may constitute forward-looking statements. Forward-looking statements can generally be identified by the use of terms such as “believe”, “expect”, “anticipate”, “intend”, “plan”, “estimate”, “seek”, “” “” Should “,” predict “,” project “,” potential “,” continue “or the negatives of these terms or variations thereof or similar expressions. These statements are based on certain assumptions we have made in light of our experience in the industry as well as our perceptions of historical trends, current conditions, expected future developments and other factors that we deem appropriate in these circumstances. . These forward-looking statements are based on our current expectations and beliefs about future developments and their potential effect on us. Forward-looking statements involve a number of risks and uncertainties that may cause actual results to differ materially from those expressed or implied by such forward-looking statements, such as our ability to successfully execute our growth strategy, including including organic growth and completion of acquisitions, effective integration of the companies we acquire, unforeseen costs of acquisitions and divestitures, the possibility that expected cost synergies will not materialize as expected, failure to ‘Aveanna or companies we acquire to operate as intended, estimate inaccuracies in revenue recognition, our ability to leverage margins through lower costs, unexpected increases in selling expenses and administration and other expenses, changes in reimbursements, changes in government regulations ntales, changes in Aveanna’s relationship with referral sources, increased competition for Aveanna’s services or wage inflation, changes in the interpretation of government regulations or discretionary determinations made by representatives of the government, uncertainties about the outcome of rate discussions with managed care organizations and our ability to effectively collect our cash from these organizations, our ability to bill and collect efficiently under new electronic due diligence regulations. visits, tax rate changes, the impact of adverse weather conditions, the impact on our business operations, reimbursements and the patient population were the worsening COVID-19 environment, and other risks set out under the heading “Risk Factors” in Aveann’s registration statement a on Form S-1, as amended, filed with the Securities and Exchange Commission and which was declared effective April 28, 2021, which is available at www.sec.gov. In addition, these forward-looking statements necessarily depend on assumptions, estimates and dates which may prove to be incorrect or imprecise. Therefore, the forward-looking statements included in this press release do not purport to be predictions of future events or circumstances, and actual results may differ materially from those expressed by the forward-looking statements. All forward-looking statements speak only as of the date they are posted, and Aveanna assumes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. , unless required by law.

Investor contact

Dave afshar
Financial director
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Media contact
Kekst CNC

Ross Lovern
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Thomas davies
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