The Pennant Group Inc. (NASDAQ: PNTG) has inked a deal to acquire Arizona-based Southwestern Palliative Care & Hospice for an undisclosed amount, adding to its existing presence in the state.
Southwestern Palliative Care & Hospice provides home-based end-of-life and serious illness care to communities in Yuma, Arizona. Founded in 2013, the hospice and palliative care provider also offers bereavement services and veteran programs. The M&A advisory firm Agenda Health consulted on the transaction.
The acquisition marks another notch in the home health, hospice and senior living company’s strategic growth plans, according to Pennant CEO Brent Guerisoli, who stated that Pennant will continue to seek growth opportunities in acquiring high quality assets across its business lines.
“We are pleased to continue our growth in the state of Arizona, and complement our agencies in Southern Arizona,” Guerisoli said in a statement. “This acquisition further solidifies our commitment to these communities, and expands our ability to provide life-changing hospice services to residents of Yuma and its surrounding communities.”
Southwestern Palliative Care & Hospice’s “deep connection” to its local community was a main draw around the acquisition decision, according to John Gochnour, president and COO at Pennant.
Idaho-headquartered The Pennant Group is a holding company of independent operating subsidiaries that provide home health, hospice and senior living services. The company operates 102 hospice and home health locations and 51 senior living communities in 13 states, including Arizona.
Having a solid relationship with patients and families in the southern Arizona region will help meet rising demand for end-of-life care, Gochnour added.
Seniors 65 and older represent 18.8% of Arizona’s overall population, according to the U.S. Census Bureau. The state ranks 12th nationally in terms of the highest proportion of seniors statewide, according to data from the Population Reference Bureau.
“Southwestern has a deep connection to the community it serves, and its staff have touched countless lives since its inception,” Gochnour said. “We are honored to partner with the wonderful Southwestern team of skilled clinicians and compassionate caregivers in delivering life-changing hospice services to the residents of this community.”
The acquisition is the latest in a slew of deals that Pennant has completed in the last six months, with accelerated growth propelling into its home-based segment.
Pennant in November purchased Guardian Hospice and Guardian Hospice of Oklahoma, a move that allowed the company to widen its footprint in that state, along with its presence in California, Texas and Arizona, particularly among rural communities, Gochnour previously stated.
The company in October acquired Arizona-based Valor HospiceCare, which followed its purchase in June of Bluebird Home Health, Bluebird Hospice and Bluebird Home Care.
Earlier this year Pennant also acquired Benefit Home Healthcare and Benefit By Your Side, a Colorado-based company that offers home health care, private duty and community health services.
Financial terms for all of these transactions were undisclosed.
Companies featured in this article:
