On January 20, 2025, BrightSpring Health Services, Inc. announced a definitive agreement to divest its Community Living business, ResCare Community Living, to Sevita for $835 million in cash. The transaction is expected to close in 2025, pending regulatory approvals and customary closing conditions.
The Community Living business generated approximately $1.2 billion in revenue and $128 million of Adjusted EBITDA in 2024. BrightSpring anticipates receiving approximately $715 million in after-tax cash proceeds, which it intends to primarily utilize for debt paydown, strengthening its balance sheet and reducing interest expense.
This divestiture is expected to be accretive to both Company and Provider Services Revenue growth and Adjusted EBITDA growth, and will accelerate BrightSpring's deleveraging path towards a long-term target of less than 3.0x. The company also reported preliminary full year 2024 net revenue of $11,200 million to $11,300 million, representing 26.9% to 28.0% growth over 2023.
For the full year 2025, BrightSpring initiated guidance, excluding the Community Living business, projecting net revenue of $11,500 million to $12,000 million, reflecting 14.4% to 19.3% growth over the midpoint of 2024 guidance. Adjusted EBITDA for 2025 is expected to be between $590 million and $610 million.
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