ModivCare to use existing credit facility for CareFinders purchase

By Sara Rosenberg

New York, July 26 – ModivCare Inc. plans to use its existing credit facility and cash on hand to fund the acquisition of CareFinders Total Care LLC, according to an 8-K filed with the Securities and Exchange Commission on Monday.

Under the agreement, CareFinders is being bought for $340 million, inclusive of estimated $34 million of net present value tax attributes generated by the transaction, implying a net purchase price of $306 million.

Closing is expected in the third quarter, subject to customary conditions.

Net leverage is expected in the low-2x range.

ModivCare is a Denver-based technology-enabled health care services company that provides a suite of integrated supportive care solutions focused on improving patient outcomes. CareFinders is a personal care provider.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.