ATLANTA and TOLEDO, Ohio—Gentiva, a dedicated hospice, palliative and personal care company striving for improved access, equity and quality of care for patients, and ProMedica, an integrated health care organization providing, in part, hospice and homecare services through its Heartland brand, announced they have signed a definitive agreement under which Gentiva will acquire Heartland hospice and homecare agencies/locations from ProMedica.
"This transaction is an exciting development for patients and their families that will enable us to extend our best-in-class caregiver recruitment and retention programs and provide high-quality care to more patients in more areas throughout the country," said David Causby, president and chief executive officer of Gentiva. "Gentiva consistently achieves industry-leading quality of care and patient family satisfaction scores by investing in our people and caregiving capabilities. Heartland is a high-quality hospice and homecare provider that shares our values on compliance and putting patients first, and my colleagues and I look forward to growing our number of caregivers so we can expand access to the highest-quality care for more seniors."
Gentiva is a provider of hospice, palliative and personal care with more than 30,000 associates and caregivers taking care of more than 24,000 patients on average each day across 36 states. Gentiva's leading caregiver recruitment and retention programs have resulted in 96% of Gentiva's patients' families being willing to recommend Gentiva and an average nurse-to-patient staffing ratio of 1:9, which is above the hospice industry average of 13 to 15 patients per nurse. Heartland is a hospice and homecare provider that shares Gentiva's culture of and commitment to high-quality patient care and compliance. Gentiva's growth strategy with Heartland will continue to be predicated on hiring and investing in more caregivers and ensuring the continued provision of high-quality care to patients across its expanded service area.
"As part of the Gentiva family, the Heartland agencies will be well-positioned to continue providing compassionate care that prioritizes patient comfort, dignity and well-being throughout the care continuum," said Arturo Polizzi, president and chief executive officer of ProMedica. "For ProMedica, this transaction is an important step toward simplifying our organizational structure and ensuring our long-term financial strength. We are pleased to be able to transition these agencies to a trusted industry leader, enabling ProMedica to commit more time, energy, and resources to our core operations.
Terms of the transaction were not disclosed. The transaction is expected to close in the second quarter of 2023, subject to customary closing conditions and state and federal regulatory approvals.
"As a licensed nurse, I understand firsthand the pressures caregivers across the United States are facing,” Causby said. “We are focused on developing systems and processes that address and overcome these challenges to remain an employer of choice, and I am excited to welcome Heartland's caregivers to our family as we continue to improve clinical outcomes and quality of life for patients in the markets we serve."
Goldman Sachs Bank USA is providing financing to Gentiva. Deutsche Bank Securities Inc., UBS Investment Bank, BNP Paribas Securities Corp., Citizens Bank, N.A., Truist Securities and Wells Fargo are serving as financial advisors and providing financing, and Debevoise & Plimpton LLP and Ropes & Gray LLP are serving as legal counsel to Gentiva. Houlihan Lokey is serving as financial advisor and BakerHostetler is serving as legal counsel to ProMedica.
