VistaCare to be acquired by Odyssey HealthCare
Shares of VistaCare, Inc. (Nasdaq: VSTA) are surging this morning after the provider of hospice services in the United States said that it will be acquired by one of the largest providers of hospice care, Odyssey HealthCare, Inc. (Nasdaq: ODSY), for $8.60 per share in cash.
The transaction is said to be structured as a two-step acquisition. The first step is a cash tender offer for all outstanding shares of VistaCare common stock followed by a cash merger in which Odyssey would acquire any remaining outstanding shares of VistaCare common stock.
The transaction is expected to be completed in the first quarter of 2008.
Shares of VistaCare (VSTA) jumped 19.65%, or $1.38, to $8.39 at 10:46 a.m. ET. Shares of VistaCare have been trading in the range of $6.05 to $10.79 for the past 52 weeks.
