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Option Care to buy homecare service provider Amedisys in $3.6 billion deal

Published 05/03/2023, 04:47 PM
Updated 05/03/2023, 05:55 PM
© Reuters.
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(Reuters) -Homecare services provider Option Care Health (NASDAQ:OPCH) Inc said on Wednesday it is acquiring Amedisys (NASDAQ:AMED) Inc in an all-stock deal valued at $3.6 billion, including debt.

The deal will enable Option Care, an infusion service provider at home or alternate sites, to expand its services.

Option Care valued Amedisys at $97.38 per share, a nearly 26% premium over the stock's close on May 2. Its shares fell 16.9% to $27.25 while Amedisys rose 2.5% to $80.6 after the bell.

Amedisys is a healthcare-at-home firm that provides nursing facility at homes as well as hospice care at the end of life.

The combined company will have a national clinician workforce of more than 16,500 health care professionals and 674 sites across the United States.

It is also expected to benefit from combined patient data sets, enhancing opportunities to identify interventions and increase patient engagement.

The deal is expected to close in the second half of 2023. If terminated, Amedisys is liable to pay $106 million to Option Care.

After the deal closes, Option Care stockholders will own about 64.5% of the combined company and Amedisys stockholders the rest.

Option Care Chief Executive John Rademacher and Finance Chief Mike Shapiro will continue in their roles, while three directors from Amedisys will be accommodated in the 10-member board of the combined company.

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