HealthSouth Corp., which owns and operates inpatient rehabilitation hospitals, has agreed to buy EHHI Holdings, a portfolio company of Cressey and Co., for about $750 million.
The deal is expected to be completed before the end of the year.
EHHI Holdings owns Dallas-based Encompass Home Health and Hospice, a provider of Medicare-focused home health services in the U.S. Currently, Encompass has 140 locations across 13 states.
J.P. Morgan Securities is providing financial advice to HealthSouth on the transaction while Ropes & Gray is representing Cressey & Co. and EHHI.
In August 2007, Thoma Cressey Bravo acquired Encompass from Apax Partners for an undisclosed amount. After Thoma Cressey Bravo split into two firms, Cressey & Co. and Thoma Bravo, Cressey & Co. took over the Encompass investment as well as other healthcare portfolio companies.
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