BOSTON--(BUSINESS WIRE)--Civitas Solutions, Inc. (NYSE: CIVI) today announced the acquisition of three Massachusetts Adult Day Health (ADH) centers. The Dacha and Winter Gardens centers, located in the Brighton neighborhood of the City of Boston, enlarge Civitas’ ADH programming in Boston. The third center, Renaissance, operates in the City of Worcester, and provides Civitas entry into the ADH market in New England’s second largest city. The transaction closed on February 1 during the Company’s quiet period prior to the release this afternoon of financial results for the first quarter of fiscal 2016.
Each of three centers acquired provide person-centered day services to elders, including medication management and nutritional and nursing support. The three centers have total capacity to serve approximately 410 elders. The Boston centers are currently operating at capacity, while the Worcester center, which is the newest of three centers, has some room to grow before reaching its capacity. The three centers generated revenues of approximately $8.7 million for the 12-month period prior to the acquisition.
“We entered the adjacent ADH market to establish another platform from which we can grow—both organically and through selective acquisitions,” said Bruce Nardella, president and CEO of Civitas Solutions. “The ADH market is large, growing, highly-fragmented, and a great complement to our network of high-quality and cost-effective community-based services. We remain very excited about the future of our ADH service line and its potential to meaningfully contribute to our Company’s mission, growth and development in the years ahead.”
Civitas entered the $6.2 billion ADH market with its September 2014 acquisition of the Mass Adult Day Health Alliance. With the acquisition of these three additional ADH centers, Civitas is now operating 11 centers in Massachusetts, including two de novo centers opened in 2014, and serving approximately 1,900 elders. In addition, two new centers are currently under construction in the cities of Brockton and Malden, Massachusetts with target opening dates in the fourth quarter of fiscal 2016.
About Civitas
Civitas Solutions, Inc. is the leading national provider of home- and community-based health and human services to must-serve individuals with intellectual, developmental, physical or behavioral disabilities and other special needs. Since our founding in 1980, we have evolved from a single residential program to a diversified national network offering an array of quality services in 35 states.
