Estia Health Acquires Kennedy Health Care Group

Estia Health has acquired private aged care provider Kennedy Health Care Group comprising of eight aged care facilities and 959 operational places.

Established in 1969, Kennedy is 100% family-owned and comprises of eight age care facilities and 959 operating places located in Metropolitan South and West Sydney and Wollongong in New South Wales.

Along with Estia’s other development activity, the acquisition will increase Estia’s total number of operating places to 5,690 across 66 facilities by the end of the 2016 financial year.

Estia has announced they will commit approximately $88.4 million of capital investment over five years into the redevelopment of some of Kennedy’s original facilities to expand the number of operating places and increase the proportion of single rooms.

The Chief Executive Officer of Estia Health, Paul Gregersen said, “The acquisition of Kennedy is in line with our stated strategy of acquiring one or more medium-sized groups as we work towards our goal of reaching 10,000 beds by 2020.

“Given the longstanding history of Kennedy, some of its existing facilities are now in the natural cycle of requiring significant redevelopment. Mark Kennedy has drawn-up plans for compelling new builds at Endeavour and The Bay which will deliver high quality choices in these attractive sociodemographic areas,” Mr Gregersen continued.

As part of the integration process, Mark Kennedy will remain as Managing Director of Kennedy through to the end of the 2016 financial year, where he will then work alongside Estia Development Director Peter Hamilton in a development role.

Mr Kennedy has more than 16 years’ experience in aged care, specifically in the design and construction of aged care facilities.  

Mr Kennedy, commented, “Kennedy has a long heritage of providing high quality care to elderly Australians. We specifically selected Estia Health as our preferred partner because of its vision to provide best-in-class aged care services and its strong family culture. Estia has an extensive industry track record, good staff longevity and a high quality leadership team.”