LHC Group continues home health expansion
LHC Group, Lafayette, La., has agreed to buy the assets of 14 home health agencies as the post-acute-care provider continues an aggressive acquisition strategy.
The publicly traded company forged an agreement with Life Care Home Health, the home health division of Life Care Centers of America, based in Cleveland, Tenn. For $10 million in cash, LHC will take control of Life Care’s home health agencies, which are scattered across seven states.
LHC—and other large home health providers—has turned to consolidation to help offset declining Medicare payments. The CMS expects to cut home health payments by $22 billion through fiscal 2017.
LHC recently completed a $60 million deal to acquire Deaconess HomeCare, adding 32 post-acute facilities to its ranks. Adding in other smaller deals, and the Life Care transaction, LHC will operate 352 locations in 30 states.