Full Press Release Details
Corp. to Acquire North Carolina-based Advanced Home Care
PLYMOUTH MEETING, PA - December
9, 2019 - AdaptHealth Corp. (NASDAQ: AHCO) ("AdaptHealth"), the third largest home medical equipment company
(HME) in the United States, today announced that it has entered into a definitive agreement with Advanced Home Care (AHC) to acquire
its home medical equipment business. The proposed transaction is expected to close in the first quarter of 2020 and is subject
to the satisfaction of customary closing conditions.
AHC provides home medical equipment including
CPAP and BiPAP machines and supplies, oxygen, ventilation and traditional durable medical equipment to
patients through its 23 branch locations in Georgia, North Carolina, South Carolina, Tennessee and Virginia. AHC is currently
a joint-venture of twelve regional healthcare systems, with whom AdaptHealth expects to have ongoing business relationships following
the closing of the transaction.
For the trailing twelve months ended September
2019, the home medical equipment business of AHC generated net revenues of $83 million.
Upon closing, AHC's HME provider
business will be integrated into AdaptHealth, further expanding AdaptHealth's footprint in the Southeast. In connection with
the transaction, AdaptHealth expects to sign a long-term lease for AHC's High Point, N.C. headquarters. Seasoned leaders
of the AHC executive team are expected to join the AdaptHealth leadership team.
"The Southeast represents an important
market for AdaptHealth, and we are excited to expand our presence through our acquisition of Advanced Home Care's HME business,"
AdaptHealth President and COO, Josh Parnes states. "Advanced Home Care is a true leader in the industry, and we look forward
welcoming members of the management team to AdaptHealth and continue enhancing the products and services we're able to provide
to patients and healthcare professionals throughout the region."
"Advanced Home Care has been fortunate
to serve our communities since 1983," said Joel Mills, CEO of Advanced Home Care. "In AdaptHealth, we believe we have
found a forward-thinking team that will allow us to continue to provide patients and our healthcare system partners with quality
products, expanded offerings, and the highest degree of service. We couldn't be more excited to join AdaptHealth."
About AdaptHealth Corp.
AdaptHealth Corp. ("AdaptHealth")
is the third largest home medical equipment company in the United States. AdaptHealth provides a full suite of medical products
and solutions designed to help patients manage chronic conditions in the home, adapt to life and thrive. Product and services
offerings include: sleep therapy equipment (CPAP and BiPAP machines and supplies), respiratory equipment (including oxygen, invasive
and non-invasive ventilation), mobility equipment, wheelchairs, walkers, and hospital beds. AdaptHealth also provides custom bracing
services, hospice-focused HME services, wound therapy and nutritional HME services. The company is proud to partner with an extensive
and highly-diversified network of referral sources, including acute care hospitals, sleep labs, pulmonologists, skilled nursing
facilities, and clinics. AdaptHealth services beneficiaries of Medicare, Medicaid and commercial insurance payors. As of September
30, 2019, AdaptHealth services over one million patients annually in 49 states through its network of 189 locations. Learn more
Forward-Looking Statements
This press release includes certain statements
that are not historical facts but are forward-looking statements for purposes of the safe harbor provisions under the United States
Private Securities Litigation Reform Act of 1995. Forward-looking statements generally are accompanied by words such as "believe,"
"may," "will," "estimate," "continue," "anticipate," "intend,"
"expect," "should," "would," "plan," "predict," "potential,"
"seem," "seek," "future," "outlook," and similar expressions that predict or indicate
future events or trends or that are not statements of historical matters. These forward-looking statements include, but are not
limited to, statements regarding projections, estimates and forecasts of revenue and other financial and performance metrics and
projections of market opportunity and expectations. These statements are based on various assumptions and on the current expectations
of AdaptHealth Corp. management and are not predictions of actual performance. These forward-looking statements are provided for
illustrative purposes only and are not intended to serve as, and must not be relied on, by any investor as, a guarantee, an assurance,
a prediction or a definitive statement of fact or probability. Actual events and circumstances are difficult or impossible to predict
and will differ from assumptions. Many actual events and circumstances are beyond the control of AdaptHealth Corp. These forward-looking
statements are subject to a number of risks and uncertainties, including the outcome of judicial and administrative proceedings
to which AdaptHealth Corp. may become a party or governmental investigations to which AdaptHealth Corp. may become subject that
could interrupt or limit AdaptHealth Corp.'s operations, result in adverse judgments, settlements or fines and create negative
publicity; changes in AdaptHealth Corp.'s clients' preferences, prospects and the competitive conditions prevailing
in the healthcare sector. A further description of such risks and uncertainties can be found in the Company's filings with
the Securities and Exchange Commission. If the risks materialize or assumptions prove incorrect, actual results could differ materially
from the results implied by these forward-looking statements. There may be additional risks that AdaptHealth Corp. presently knows
or that AdaptHealth Corp. currently believes are immaterial that could also cause actual results to differ from those contained
in the forward-looking statements. In addition, forward-looking statements reflect AdaptHealth Corp.'s expectations, plans
or forecasts of future events and views as of the date of this press release. AdaptHealth anticipates that subsequent events and
developments will cause AdaptHealth Corp.'s assessments to change. However, while AdaptHealth Corp. may elect to update these
forward-looking statements at some point in the future, AdaptHealth Corp. specifically disclaims any obligation to do so. These
forward-looking statements should not be relied upon as representing AdaptHealth Corp.'s assessments as of any date subsequent
to the date of this press release. Accordingly, undue reliance should not be placed upon the forward-looking statements.
| AdaptHealth Corp. | The Equity Group Inc. |
| Brittany Lett | Devin Sullivan |
| Vice President, Marketing | Senior Vice President |
| (909) 915-4983 | (212) 836-9608 |
| blett@adapthealth.com | dsullivan@equityny.com |
| Kalle Ahl, CFA | |
| Vice President | |
| (212) 836-9614 | |
| kahl@equityny.com |