Addus HomeCare Completes Four Acquisitions, Public Stock Offering

Client Type: Public Company

We represented Addus HomeCare Corporation (NASDAQ: ADUS) in four strategic acquisitions in 2019, including the acquisition of Hospice Partners of America LLC (HPA), a multi-state provider of hospice services, for approximately $130 million cash and VIP Health Care Services, a New York provider of home care services, for approximately $30 million. Additionally, Addus HomeCare acquired Alliance Home Health Care, LLC in New Mexico, as well as Foremost Home Care, Inc., a New-York based personal care provider organization, for approximately $25 million combined. These four strategic acquisitions, for which we served as lead counsel, substantially expands Addus HomeCare’s hospice operations and service area and provides additional market coverage from more than 20 additional locations.

Additionally, we represented Addus HomeCare in its underwritten public offering of 2.3 million shares of common stock. The net proceeds from the offering, after deducting underwriting discounts and commissions and estimated offering expenses, were approximately $173 million. Addus HomeCare used the net proceeds from the offering to fund its acquisition of HPA, and the remaining proceeds were used for general corporate purposes.

The team was led by Bass, Berry & Sims corporate attorney David Cox and included corporate attorneys Kevin Douglas, Jon Stanley, Tim Van Hal, Taylor Wirth, Andrew Hard, Sara Vance, Lora Wuerdeman, and Gardner Bell. Lara Flatau, Mary Beth Fortugno, Anna Grizzle, Nesrin Tift, Krista Cooper, Amy Morgan, Katie Dunn, Stefanie Carter, Dawn Perez-Slavinski, Nikki Wethington and Ali Deatherage counseled on healthcare issues; Philip Lewis counseled on tax issues while Cindy Sellers, Jason Lewallen, David Harper and Jessica Reeves counseled the client through debt financing matters; Curtis Fisher and Doug Dahl advised on employee benefits matters; Bob Horton and Kimberly Veirs advised on labor and employment matters; Shelley Thomas and Chelsea Harrison advised on intellectual property matters; and Luke Smith advised on antitrust matters.

“We are honored to represent Addus during this exciting time as they successfully execute their acquisition strategy and increase shareholder value. Our team brings to bear expansive experience partnering with public companies, like Addus, to get deals done and navigate the intricate regulatory challenges. We look forward to continuing to work alongside the Addus leadership team as they expand their market reach and build upon their home care presence in the marketplace,” said lead deal attorney David Cox.

To read the full press releases of the offering and transactions by Addus HomeCare, click here. The transactions were highlighted in several media outlets, including:

Addus HomeCare is the nation’s largest public provider of personal home care and support services, with approximately 41,000 consumers served through 165 locations across 24 states.

The Bass, Berry & Sims corporate and securities practice encompasses mergers and acquisitions, capital markets transactions, corporate governance and shareholder activism. We serve as primary corporate and securities counsel to more than 35 public companies and have counseled on 150 deals ranging in size from $20 million to more than $15 billion over the past two years. The team and our attorneys have been consistently recognized in leading industry outlets, including Chambers USA – ranked as a top corporate firm in Tennessee since 2003 – and M&A Advisor Award recipient for “Healthcare & Life Sciences Deal of the Year ($100MM-$1B)” and “Industrials Deal of the Year (Over $1B)” in 2019; “M&A Deal of the Year ($10MM-$25MM” and “Healthcare and Life Sciences Deal of the Year (Over $100MM-$1B)” in 2018; and “M&A Deal of the Year (From $1B-$5B)” and “Corporate/Strategic Deal of the Year (Over $1B)” in 2017.

We represented Addus HomeCare Corporation (NASDAQ: ADUS) in four strategic acquisitions in 2019, including the acquisition of Hospice Partners of America LLC (HPA), a multi-state provider of hospice services, for approximately $130 million cash and VIP Health Care Services, a New York provider of home care services, for approximately $30 million. Additionally, Addus HomeCare acquired Alliance Home Health Care, LLC in New Mexico, as well as Foremost Home Care, Inc., a New-York based personal care provider organization, for approximately $25 million combined. These four strategic acquisitions, for which we served as lead counsel, substantially expands Addus HomeCare’s hospice operations and service area and provides additional market coverage from more than 20 additional locations.

Additionally, we represented Addus HomeCare in its underwritten public offering of 2.3 million shares of common stock. The net proceeds from the offering, after deducting underwriting discounts and commissions and estimated offering expenses, were approximately $173 million. Addus HomeCare used the net proceeds from the offering to fund its acquisition of HPA, and the remaining proceeds were used for general corporate purposes.

The team was led by Bass, Berry & Sims corporate attorney David Cox and included corporate attorneys Kevin Douglas, Jon Stanley, Tim Van Hal, Taylor Wirth, Andrew Hard, Sara Vance, Lora Wuerdeman, and Gardner Bell. Lara Flatau, Mary Beth Fortugno, Anna Grizzle, Nesrin Tift, Krista Cooper, Amy Morgan, Katie Dunn, Stefanie Carter, Dawn Perez-Slavinski, Nikki Wethington and Ali Deatherage counseled on healthcare issues; Philip Lewis counseled on tax issues while Cindy Sellers, Jason Lewallen, David Harper and Jessica Reeves counseled the client through debt financing matters; Curtis Fisher and Doug Dahl advised on employee benefits matters; Bob Horton and Kimberly Veirs advised on labor and employment matters; Shelley Thomas and Chelsea Harrison advised on intellectual property matters; and Luke Smith advised on antitrust matters.

“We are honored to represent Addus during this exciting time as they successfully execute their acquisition strategy and increase shareholder value. Our team brings to bear expansive experience partnering with public companies, like Addus, to get deals done and navigate the intricate regulatory challenges. We look forward to continuing to work alongside the Addus leadership team as they expand their market reach and build upon their home care presence in the marketplace,” said lead deal attorney David Cox.

To read the full press releases of the offering and transactions by Addus HomeCare, click here. The transactions were highlighted in several media outlets, including:

Addus HomeCare is the nation’s largest public provider of personal home care and support services, with approximately 41,000 consumers served through 165 locations across 24 states.

The Bass, Berry & Sims corporate and securities practice encompasses mergers and acquisitions, capital markets transactions, corporate governance and shareholder activism. We serve as primary corporate and securities counsel to more than 35 public companies and have counseled on 150 deals ranging in size from $20 million to more than $15 billion over the past two years. The team and our attorneys have been consistently recognized in leading industry outlets, including Chambers USA – ranked as a top corporate firm in Tennessee since 2003 – and M&A Advisor Award recipient for “Healthcare & Life Sciences Deal of the Year ($100MM-$1B)” and “Industrials Deal of the Year (Over $1B)” in 2019; “M&A Deal of the Year ($10MM-$25MM” and “Healthcare and Life Sciences Deal of the Year (Over $100MM-$1B)” in 2018; and “M&A Deal of the Year (From $1B-$5B)” and “Corporate/Strategic Deal of the Year (Over $1B)” in 2017.