New York firm finalizes InnovAge acquisition; foundation established
A senior-care company with a facility in Loveland and that provides home-care services in Estes Park has been acquired by a New York-based private equity firm.
A majority stake in Denver-based InnovAge was purchased by Welsh, Carson, Anderson & Stowe, allowing the Denver-based company to complete its transition from a nonprofit to a for-profit company and expand its services. That conversion was approved March 25 by Colorado Attorney General Cynthia Coffman.
InnovAge runs an InnovAge Greater Colorado PACE (Program of All-inclusive Care for the Elderly) facility in Loveland that is aimed at providing health-care and day programs to help seniors remain and live independently in their own communities.
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The transaction also establishes the NextFifty Initiative, an independent, Colorado-based grant-making foundation dedicated to the state’s vulnerable and underserved aging population that is the recipient of the net proceeds of $196 million from the sale of InnovAge to WCA&S. As part of the agreement approved by Coffman, NextFifty has the potential to receive an additional $8 million in 2018.
The foundation’s first priorities include recruitment of qualified board members representing multiple Colorado constituencies, recruiting and hiring a chief executive and establishing the necessary operational infrastructure to begin grant making in 2017. Community members interested in getting involved or applying to serve on the board can contact NextFifty at info@next50initiative.org.
Foley & Lardner LLP advised InnovAge on the transaction.
“With the number of Americans aged 65 and over set to double over the next few decades, the need for quality and affordable senior care is great,” said Maureen Hewitt, president and chief executive of InnovAge, in a prepared statement. “The InnovAge board of directors and senior management actively looked for a financial partner to strengthen the future of InnovAge and help fund the expansion of our gold-standard services. This new partnership positions InnovAge for growth across the United States so that we can help even more seniors age in their homes with dignity and on their own terms.”
Founded in 1991, InnovAge operates in Colorado, New Mexico and California.
