Home Health Care Holdings, the parent company of Nurse on Call and a portfolio company of Kinderhook Industries, has been sold to Emeritus Corporation for $102.5 million. Emeritus will acquire 91% of the equity of Home Health Care Holdings with the remaining equity owned by certain members of Nurse on Call’s management team.
Nurse on Call (NOC) has been a portfolio company of Kinderhook since 2005 and this sale represents a return on invested capital of over 5.0x, including prior distributions, for Kinderhook.
Nurse on Call is a Medicare licensed home health care agency that employs registered and licensed nurses to provide a variety of medically necessary services to home bound patients. Services provided by the company include skilled nursing, home health aide and medical social services. Nurse on Call is regionally focused with 29 offices located throughout the state of Florida. The company is based in Lake Worth, FL (www.nurseoncallfl.com).
“NOC’s partnership with Kinderhook enabled the company to successfully navigate through a dynamic period of change in the healthcare industry,” said Dale Clift, CEO of Nurse on Call. “The Kinderhook team fully supported our growth strategy. As a result, we were able to open 28 offices throughout Florida, employ over 1,700 caregivers and offer services throughout 47 Florida counties.”
“Kinderhook is proud of the accomplishments of the company’s management team and hard-working employees over the past seven years,” said Chris Michalik, Managing Director at Kinderhook Industries. “Mr. Clift and his team achieved impressive revenue and EBITDA growth and more importantly, built a company which is operationally sound with a culture committed to delivering high levels of service and patient care. NOC is well positioned to continue to thrive under Emeritus’ ownership.”
Kinderhook Industries is a manager of private equity funds with $770 million of committed capital. Kinderhook primarily makes control investments in companies with transaction values of $25 million to $100 million in which the firm can achieve financial, operational and growth improvements. Kinderhook pursue private equity investments in non-core divisions of public companies, management buyouts of entrepreneurial-owned businesses, troubled situations and existing small capitalization companies lacking institutional support. The firm is based in New York, NY (www.kinderhook.com).
Emeritus (NYSE: ESC) is the nation’s largest memory care and assisted living provider with the ability to serve nearly 50,000 residents at more than 470 communities throughout 44 states. Emeritus offers the spectrum of senior residential choices, care options and life enrichment programs that fulfill individual needs and promote purposeful living throughout the aging process. The company is based in Seattle, WA (www.Emeritus.com).
© 2012 PEPD • Private Equity’s Leading News Magazine • 11-20-12