Business
Extendicare to Expand its Home Health Care Business by Acquiring CBI Home Health for $570 Million in Cash Consideration
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About this update from Extendicare Inc.
[{"type":"text","content":"Extendicare to Expand its Home Health Care Business by Acquiring CBI Home Health for $570 Million in Cash ConsiderationExtendicare also announces $200 million bought deal private placement equity offering\n\n\n\n\n Not for distribution to U.S. news wire services or dissemination in the United States.\n \n\n\n MARKHAM, ONTARIO, Nov. 19, 2025 (GLOBE NEWSWIRE) -- Extendicare Inc. (“\n \n Extendicare\n \n ” or the “\n \n Company\n \n ”) (TSX: EXE) announced today that its wholly-owned home health care subsidiary, ParaMed Inc. (“\n \n ParaMed\n \n ” or the “\n \n Purchaser\n \n ”), has entered into a definitive agreement to acquire all of the equity interests of CBI Home Health LP and CBI (GP) 3 Inc. and their respective subsidiaries (collectively, “\n \n CBI Home Health\n \n ”), from CBI Health LP and CBI GP Holdco Inc. (the “\n \n Acquisition\n \n ”). The Acquisition will accelerate Extendicare’s services-focused growth strategy and strengthen its national leadership position.\n \n\n The acquisition will be completed for a cash purchase price of $570.0 million, subject to customary adjustments, plus approximately $13.6 million in estimated lease liabilities in accordance with IFRS 16 –\n \n Leases\n \n (“\n \n IFRS 16\n \n ”).\n \n\n\n Acquisition Highlights\n \n\n\n\n CBI Home Health is a national home health care company, delivering over 10 million hours of care annually across seven provinces, anchored by sizeable Ontario and Alberta operations.\n \n\n Diversifies ParaMed’s geographic footprint and establishes a sizeable presence in the Alberta market.\n \n\n Enhances ParaMed’s capabilities through innovative care models, including service partnerships with hospitals and specialized community services.\n \n\n Highly complementary to Extendicare’s home health platform, adding scale to ParaMed’s technology platform to drive operating performance and significant IT and other cost synergies.\n \n\n Highly compelling financial profile: 8.4x Adjusted EBITDA multiple after giving effect to the expected post-Acquisition synergies of approximately $7.4 million, resulting in\n \n pro forma\n \n AFFO per share and earnings per share (fully diluted) accretion of 20% and 15%, respectively (as further des...