A Medical Device Daily

Nyer Medical Group (Bangor, Maine) reported that it has sold ADCO South Medical Supplies (West Palm Beach, Florida), its Florida medical-surgical division, to an unnamed buyer. Details of the transaction were not disclosed.

Nyer also said that its pharmacy division, D.A.W., was awarded a two-year contract with Sunrise Senior Living (McLean, Virginia) to be the preferred pharmacy provider at all 16 of the company's assisted living facilities in Massachusetts. The award was made at the conclusion of a competitive proposal submission and review process. There are about 1,600 residents at those facilities.

"We strongly believe that the divestiture of ADCO South was in the best interest of the shareholders. Its operation provided no synergies to our core business and was at the same time geographically cumbersome," said President/CEO Mark Dumouchel.

Nyer is a holding company that through its subsidiaries operates pharmacies in the greater Boston area and a medical products business that distributes and markets medical equipment and supply products to hospitals, physicians and nursing homes using relationship-based telemarketing, direct sales personnel, catalogs and the Internet.

HealthSouth (Birmingham, Alabama) reported that it has agreed to acquire a 30-bed inpatient rehabilitation unit at the Medical Center of Arlington (Arlington, Texas).

The unit is currently owned by Columbia Medical Center of Arlington Subsidiary. Once the transaction is complete, the unit's operations will relocate to HealthSouth Rehabilitation Hospital of Arlington.

HealthSouth operates 14 rehabilitation hospitals throughout Texas.

The closing of the transaction is subject to certain state and federal regulatory approvals and is expected to take place in 3Q08.

In other dealmaking news, LHC Group (Lafayette, Louisiana), one of the largest providers of home nursing services in the U.S., reported that it entered into a joint venture relationship, effective July 1, with Grant Memorial Hospital (Petersburg, Virginia), a 61-bed hospital, to provide home health and hospice services in Petersburg and the surrounding areas.

All home health and hospice services provided by Grant Memorial Hospital will continue without interruption under the new partnership.

Grant Memorial Hospital employs more than 360. The primary service area has an estimated total population of 33,000, with almost 17% over the age of 65. Total revenue for 12 months for the agency is roughly $554,000. This joint venture is not expected to add materially to earnings in 2008.