Extendicare looking to expand, CEO says
After just completing its purchase of Assisted Living Concepts Inc., the CEO of Extendicare Inc., Mel Rhinelander, says the company is ready for new acquisitions.
The Ontario, Canada-based long-term care company bought ALC for about $412 million (Canadian) about a year ago, and in the process acquired about 177 assisted-living centers in the U.S.
The long-term care industry has been changed by a number of recent deals, Rhinelander said, noting that the company continues to monitor and assess opportunities in an effort to increase shareholder value.
Last week Extendicare reported third-quarter profits of $29 million
(Canadian), up from $19.6 million in 2004, as revenue increased at the company's nursing and assisted-living homes. Revenue from Extendicare's Canadian homes rose to $96.6 million from $92.3 million, while U.S. operations posted revenues of $346.2 million, up from $299.7 million.
The company operates 442 long-term care facilities in the U.S. and Canada.