LHC acquires home health, hospice agencies

Lafayette-based LHC Group Inc. announced Thursday it will pay $20 million to acquire the home health service line of Addus HomeCare Corp.’s 19 home health agencies and two hospice agencies in five states.

Based in Palatine, Ill., Addus has three home health agencies in Arkansas; one home health agency and two hospice agencies in South Carolina; and one home health agency in Nevada. LHC will also acquire 90 percent of eight home health agencies in Illinois and six in California; Addus will own 10 percent of those locations.

When the deal is completed, LHC will have more than 300 locations in 23 states.

Both Arkansas and South Carolina are certificate of need states, meaning a provider must prove its services are needed before the state will license a new home health agency.

There are an estimated 2.6 million people 65 and older in Addus’s service areas. Addus’s home health and hospice revenue is around $36.7 million.