Schowalter Villa and Kidron Bethel Village merger detailed
Two Kansas-based retirement communities have merged.
Merger and acquisition advisors might have been needed by Schowalter Villa and Kidron Bethel Village, as the two US-based retirement services providers have agreed to combine their operations.
The proposal was approved by members of both companies during a joint meeting and operation of the two organisations is now to be directed by a single board of directors and management team, effective immediately.
A merger between the two bodies was initially discussed during December 2010 to deal with an expected reduction in Medicaid and Medicare payments and further challenges within the healthcare sector.
Both organisations are affiliated with the USA's Mennonite church and the new organisation will be Kansas' second-biggest continuing-care retirement community.
"We expect our newly integrated organisation to be more efficient and to improve our ability to proactively address the future needs of our residents and communities," chief executive officer of the integrated company James Krehbeil stated.
The process of conducting financial due diligence was led by Will Carney of Ziegler Investment Banking / Senior Living, who said the combined operation's credit profile exemplifies a "stable, profitable organisation".
Posted by Ken Hayes
Source: Kidron Bethel press release, January 30th