Senator seeks skeletons in closet of Beverly buyer
The prospective owner of Beverly Enterprises Inc. has been known to drain businesses and not pay bills, according to an Arkansas senator.
North American Senior Care Inc. which won the bidding war for Beverly, is "not meeting its financial obligations to creditors or its obligations to patients," said Sen. Mark Pryor (D-AR), in a letter sent to the federal Office of Inspector General. Pryor wants the office to review Beverly's corporate integrity agreement to determine if the transaction can take place.
North American emerged the apparent victor in the auction fight for Beverly after it raised its bid for the chain to $13 a share from $12.80, beating out rival investors group Formation Capital.