MODV - ModivCare to acquire personal care provider CareFinders for over $300M

Zhanna Hapanovich/iStock via Getty Images ModivCare (MODV) has agreed to acquire 100 percent of the equity interests in CareFinders, a personal care provider in the Northeast with a presence in New Jersey, Pennsylvania, and Connecticut. The deal valued at $340M has a net purchase price of $306M adjusted for an estimated $34M of net present value tax attributes generated by the transaction, ModivCare said in a statement. The acquisition is funded by a combination of cash on hand and debt. Pro forma for recent acquisitions CareFinders generates $200M of annual revenue, primarily through Medicaid and Managed Care Organization payors. Once the deal closes in Q3 2021, CareFinders serving 7,500 patients annually through its more than 6,200 caregivers will help expand ModivCare’s personal care segment to cover nearly 16,000 caregivers across seven states. As of Q1 2021, ModivCare posted $299.6M in cash and cash equivalents, ~63.4% higher than the 2020-year end.

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ModivCare to acquire personal care provider CareFinders for over $300M