Paragon to Acquire Mariner Health Group
Paragon Health Network Inc. said it will acquire Mariner Health Group Inc. for about $581 million in stock, plus some assumed debt, expanding its reach in long-term care and rehabilitation. Mariner shareholders would receive one Paragon share for each Mariner share they hold, giving them 44% of the combined company. The combined company would have annual revenue of about $3 billion. Atlanta-based Paragon is the nation’s second-largest nursing-home chain. The acquisition would combine Paragon’s larger number of facilities with Mariner’s more efficient care management, the companies said. New London, Conn.-based Mariner provides rehabilitation, nursing, pharmacy and other health-care services. Paragon shares fell 63 cents to close at $19.13 on the NYSE, and Mariner fell 44 cents to close at $18.19 on Nasdaq.