Fulcrum Equity Partners is set to buy Willowbrook Health Systems, a Medicare-certified hospice provider.
The private equity firm facilitated the deal through portfolio company Five Points Healthcare, which Fulcrum set up in 2011. Since then, Atlanta-based Fulcrum has helped grow Five Points through a series of add-on deals.
Willowbrook marks the fourth acquisition completed by Five Points and Fulcrum. The transaction allows Five Points to grow within Tennessee, which is where Willowbrook operates. In April, Five Points purchased BestCare Home Care, a home health provider of operating throughout northern and western Virginia.
Based in Nashville, Willowbrook has been a health service provider for more than 30 years.
The deal was announced the same day that Kindred Healthcare Inc. inked a $1.8 billion merger with GentivaHealth Services Inc., creating the nation’s largest provider of long-term, acute-care hospitals; inpatient rehabilitation facilities; and hospice and home-health services.
Similar deals have also been announced as equity sponsoring within the hospice space have become more common in recent months.
In August, Genesis HealthCare, a post-acute health care company, and Skilled Health Care Group Inc., which operates skilled nursing facilities, merged. In April, LHC Group Inc. (Nasdaq: LHCG) picked up two home health and hospice centers.