Daily News

View All News

AMN to acquire Advanced Medical in $200 million deal

May 01, 2019

AMN Healthcare Services Inc. (NYSE: AHS), the largest US healthcare staffing provider, agreed to acquire Advanced Medical Personnel Services Inc.

The purchase price is $200 million, with up to an additional $20 million to be paid based on Advanced's 2019 financial performance. The acquisition is expected to close by early June, subject to regulatory approvals and customary closing conditions.

Advanced places therapists and nurses in contract positions across multiple settings including hospitals, schools, clinics, skilled nursing facilities and home health. It does business as Advanced Inc., which ranks No. 22 on Staffing Industry Analysts’ list of largest healthcare staffing firms in the US.

“The announced agreement to acquire Advanced Medical Staffing would enable AMN Healthcare to both bolster its allied and travel nurse businesses and further expand its footprint into nonacute care settings such as schools, clinics, skilled nursing facilities and home health,” said Amy Chang, SIA’s healthcare analyst. “Advanced Medical’s recent launch of telehealth services would also add new capabilities to AMN’s portfolio of workforce solutions offerings.”

Advanced, launched in 1989, is headquartered in Port Orange, Florida, with an additional office in Denver. Advanced provides occupational therapists, physical therapists, speech language pathologists, and nurses. More recently, it launched a platform that provides large school districts with onsite and telehealth therapists. Advanced has a current annualized run rate of approximately $140 million revenue and adjusted EBITDA of $20 million.

“In addition to the attractive nature of their growing footprint in schools, we are excited about the potential of the recently launched telehealth platform for delivery of speech therapy to children across the country,” AMN President and CEO Susan Salka said. “This acquisition also expands our talent network of healthcare professionals and increases our placement capabilities where we have the most significant imbalances of talent supply and demand.”

Under the terms of the purchase agreement, AMN will acquire all of the issued and outstanding shares of capital stock of Advanced Medical, according to a filing with US Securities and Exchange Commission. Advanced Medical will become a wholly owned subsidiary of the AMN Healthcare.

AMN Healthcare last year acquired Tampa, Fla.-based MedPartners — a health information management and locum tenens staffing provider — for $195 million. It also acquired two Boston-area firms in a separate transaction: Phillips DiPisa and Leaders for Today.

AMN plans to discuss more details of the acquisition during its first quarter 2019 earnings call, scheduled for tomorrow.

Comments

Add New Comment

Post comment

NOTE: Links will not be clickable.