Nursing Homes Part Of Purchase
An addition is being planned for Heartland Health Care Center-Knollview at
Local facilities changing hands include:
- Heartland Health Care Center-Crestview,
625 36th St. SW, Wyoming; 92 beds, $13.1 million
- Heartland Health Care Center-Grand Rapids,
2320 East Beltline Ave. SE; 199 beds, $16.9 million
- Heartland Health Care Center-Greenview,
1708 Leonard St. NW; 69 beds, $11.9 million
- Heartland of
Holland, ; 111 beds, $8.2 million Ottawa County
- Heartland Health Care Center-Knollview; 107 beds, $5.3 million
- Heartland Health Care Center-Whitehall; 125 beds, $7.2 million
- Heartland Health Care Center-Ionia; 120 beds, $14.2 million
Manor Care owns 27 skilled nursing centers and three assisted-living centers in
The Toledo-based company has about 60,000 employees. It operates under the Heartland, ManorCare Health Services and Arden Courts names.
“Carlyle is a private equity investment group not involved in any day-to-day operations now, and they are not going to be after the sale is completed,” Rump said. “We told our employees they should see little or no change. They’re not even going to notice a difference.”
No changes are expected in top management, and the sale is expected to be completed before year’s end, Rump said.
Manor Care in July announced an offer from The Carlyle Group in an all-cash transaction, with shareholders to receive $67 per share of common stock.
“This transaction affords a significant cash premium to our shareholders while allowing the company to continue its strategic direction and commitment to quality care,” said Paul A. Ormond, CEO, chairman and president, in a July statement.
The Carlyle Group, which has $58.5 billion under management, plans to finance the transaction with a combination of commercial mortgage-backed securities, debt financing and equity.
Manor Care reported in July that second-quarter revenues increased by 7 percent to $958 million, compared to last year, with net income of $44 million. The board of directors paid a 17-cent-per-share dividend for common stock in August. The company trades as HCR on the New York Stock Exchange.
According to the letter of intent, renovation and addition plans for the Knollview facility won’t increase the number of beds, but will allow for rooms with as many as four people to be used as doubles. A $1.38 million, 5,034-square-foot addition is proposed to replace 12 beds with six semi-private rooms with bathrooms and will include a therapy area and a renovated nurses’ station.