Healthcare Services Group, Inc., has announced that it signed a definitive agreement and plan of merger to acquire all of the capital stock of Summit Services Group, Inc., a privately held housekeeping, laundry and food services provider to the eldercare market.based in Newton Lower Falls, MA. The deal is for $17.2 million plus the assumption of approximately $1 million in net liabilities.
Like Summit, HSG provides a variety of managed services, including foodservice, to some 1,700 nursing homes, rehabilitation facilities and retirement centers, as well as hospitals. The company, based in Huntington Valley, PA, had total revenues of $466 million last year, of which around $91 million was from foodservice operations. It says it expects Summit to add about $50 million to its annualized revenues once it is fully integrated.