Lincare acquires 14-location Merriam-Graves
January 17, 2005
CHARLESTOWN, N.H. - Lincare acquired one of the largest HMEs in northern New England last week and immediately closed eight of 14 branches and laid off 30+ employees, according to sources close to the deal.
“Of all the acquiring companies, Lincare is most feared by employees because when they put their platform in place, they tend to do more layoffs more quickly,” said one industry insider. “They are looking for economies of scale.”
Lincare confirmed the acquisition but refused further comment.
Merriam-Graves is a subsidiary of an industrial gas company by the same name. Talks between the two companies broke off last June, reportedly over issues surrounding Merriam-Graves’ accounts receivables.
At time, industry sources pegged Merriam-Graves’ asking price at north of $20 million.
“Lincare’s first price was higher than most, so the end price is still going to be high,” a source said.
After Lincare and Merriam-Graves parted ways in June, Apria acquired LifePlus, a premier regional HME based in Raymond, N.H. Some industry watchers suspect Lincare may have renewed its dealings with Merriam-Graves to keep pace.