Almost Family signed a definitive agreement to acquire a controlling interest in the entity holding the home health and hospice assets of Community Health Systems (CHS).

CHS Home Health, a provider of skilled home health and hospice services currently operates 74 home health and 15 hospice branch locations in 22 states. With the completion of this transaction, Almost Family will operate 340 branches across 26 states and its annual net revenue run rate is expected to exceed the $800 million mark.

The total purchase price for 80% of the equity interest in CHS Home Health is $128 million, subject to a working capital adjustment. Financing for the transaction has been fully committed by JPMorgan. Almost Family expects the transaction to be completed during Q4/16, subject to regulatory approvals and the satisfaction of customary closing conditions. The acquisition is expected to be accretive to EPS in 2017.

William B. Yarmuth, CEO of Almost Family, said, “Over the past few years, Almost Family has grown dramatically, both in size and in scope. In addition to being one of the nation’s largest home health providers, our HealthCare Innovations investments have brought us new perspectives and enabled us to be much more active in the development of new care delivery models. This partnership with CHS may be the most strategic of all the investments we’ve made yet.”

Louisville-based Almost Family is a regional provider of home health nursing services. Almost Family operates 250 home health branch locations in 16 U.S. states.