The Federal Trade Commission gave antitrust clearance to Louisville, Ky.-based Kindred Healthcare's agreement to purchase RehabCare Group, St. Louis, for $1.3 billion in stock, cash payments and assumption of debt.
FTC lets Kindred, RehabCare deal proceed
The transaction would create the largest post-acute-care company and, when announced Feb. 8, had already been approved by the two companies’ boards and was expected to close by June 30. The combined companies would include: 226 nursing and rehabilitation centers, 118 long-term acute-care hospitals, and 121 inpatient rehabilitation hospitals, according to Kindred.
Officials for the two companies say the deal positions Kindred to benefit from Medicare’s move toward bundled payments and accommodate a population of patients whose needs are growing more intense and complex.
The FTC granted the deal early termination under the Hart-Scott-Rodino Act, which requires notification and review of significant mergers and acquisitions.
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