Highland Capital Management has wrapped up its acquisition of American HomePatient, the home health services provider that ran into trouble when it couldn't keep up with payments on its large debt load. Execs at Dallas-based Highland say they will help the company "realize accelerated, profitable growth."
Oct 13, 2010 8:29 AM
American HomePatient will soon begin paying the holders of almost 40 percent of its stock 67 cents for each share they submitted as part of a self-tender offer. The move is part of a broader restructuring plan that will end up with Highland Capital Management owning the Brentwood-based home health services provider. The company (Ticker: AHOM) also has converted more than $220 million of debt into two term loans.
Joseph F. Furlong, President and Chief Executive Officer of the Company, stated, “This is an important day for American HomePatient and all of our stakeholders. We believe this transaction provides fair value to our shareholders and resolves the uncertainty caused by the maturing of our senior debt over a year ago. Our Company and its constituents will all benefit from this more stable financial environment as we continue to provide critical services to our patients. At this time, I would like to especially thank our employees for their hard work and dedication and our vendors for their support during the extended time needed to resolve our debt maturity issue.”
Sep 2, 2010 2:44 PM
Behavioral health care firm beats by a penny, prison operator hikes guidance and home health firm extends self-tender
Aug 4, 2010 4:23 PM
With a shareholder vote to reincorporate in Nevada, home health care company American HomePatient took a step in the direction of becoming a private company. Debt-burdened HomePatient (Ticker: AHOM) in April announced a deal to be taken private by its largest investor, Dallas-based Highland Capital Management for 67 cents per share. The Brentwood-based company is one of the country's largest home health operators, working in 33 states.
Jul 1, 2010 7:14 AM
HME News talks to some home health market experts about American HomePatient's deal to go private. The consensus: Buyer Highland Capital Management is likely to be as patient in managing the new HomePatient as it was in restructuring its debt.
"It's a real quandary, because it's a great business, and it's not going anywhere from a demographics standpoint, but it has a huge cloud over it due to competitive bidding and the oxygen cap," Leonard said. "Until that cloud goes away, for many investors, the best strategy is to continue to own the company and make a little bit of money each month, because the market doesn't allow for that big payday right now."
May 5, 2010 7:12 AM
After 10 debt forbearances, company and investors agree to buyout, debt restructuring plan
Apr 28, 2010 7:33 AM
Home health care provider American HomePatient (Ticker: AHOM) has extended until Oct. 1 a forbearance agreement with its largest debt holders. The investors will hold off on exercising their option to take control of the company to see if CEO Joe Furlong and his team can come up with a way to repay more than $220 million in debt.
Sep 1, 2009 6:51 AM
The debt-laden home health care supplier (Ticker: AHOM) has received a month's grace from its lenders on the $226 million that was due this past Saturday. After Sept. 1, those lenders — led by 48 percent shareholder Highland Capital Management — can foreclosure on "substantially all the assets of the Company." (Search for 'Going concern.')
Aug 4, 2009 8:18 AM