Gentiva to sell majority of child care offices

MELVILLE, N.Y. - Home health care services provider Gentiva Health Services Inc. said Tuesday it agreed to sell six branch offices which specialize in pediatric care to Andventure Inc., which does business as Loving Care Agency and Links2Care.

Financial terms weren't disclosed. Gentiva said the sale, which represents more than 80 percent of its current pediatric care operations, fits with its plan to focus on providing home health services for the elderly.

"We believe our emphasis on providing value-added services to this population will translate into higher margins and returns that we can leverage to continue to grow of our core home health business," said Tony Strange, CEO of Gentiva.

Loving Care Agency will acquire existing Gentiva branches in Phoenix, Ariz.; Springfield, Mass.; Pittsburgh and State College, Pa. Loving Care currently provides pediatric home care services through over 25 offices in five states.

The transaction is expected to close in the first quarter.

Gentiva shares closed down 32 cents, or nearly 13 percent, at $2.18.

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