Senior Housing: Emeritus to buy rehab service provider Weston Group in $18m deal
Senior living services provider Emeritus Corp (NYSE: ESC) said Monday it has agreed to purchase Weston Group, a company that provides rehabilitation services and medical equipment products to the senior living industry, for $18 million.
The deal will see Emeritus expand into the rehab therapy business, through both organic and acquisitive growth, it said.
The Weston Group has annual revenues of approximately $37.0 million, of which Emeritus accounts for around a third of its business, representing service in approximately 50 communities.
The current principal of the Weston Group, Randy Weston, will serve as president of the new entity.
As one of the largest operators of assisted living communites in the U.S, Seattle-based Emeritus currently operates 452 communities in 43 states, representing capacity for approximately 39,200 units and approximately 45,600 residents.
These communities provide a residential housing alternative for senior citizens who need assistance with daily life, with an emphasis on personal care services.
The deal, which is still subject to closing conditions, is anticipated to complete in early 2011.