Care Group to acquire Peachtree Medical

Business Wire, Sept 7, 1995

LAKE SUCCESS, N.Y.--(BUSINESS WIRE)--Sept. 7, 1995--The Care Group Inc. (NASDAQ/NMS: CARE) today announced that it had entered into a purchase agreement to acquire Peachtree Medical Inc. ("Peachtree Medical") of Marietta, Ga.

Peachtree Medical is a company offering specialized home medical equipment. The purchase price was not disclosed but is expected to be a combination of stock and cash.

In making the announcement, Ann T. Mittasch, The Care Group's president, said, "The Peachtree Medical acquisition is the second of a series of recently proposed acquisitions which serve to consolidate a variety of our activities. As we add more services throughout our branch network, such as home medical equipment, there is a resulting economy of scale while offering more benefits to our patient base."

The company has been focusing its efforts on providing a one-stop home care medical shopping service within each office. It provides infusion therapy, nursing services, pharmaceutical services and home medical equipment. As part of this strategy, it is streamlining operations and enhancing its bottom line, Mittasch added.

In August, the company entered into a letter of intent to purchase Therapeutic Innovations, Inc. of Houston, a pediatric therapy organization and is anticipating announcing additional acquisitions throughout the year.

The Care Group is engaged in high-tech home health care. The Care Group's nursing and pharmaceutical division provides home and alternative site care through its branch network located in Atlanta, Ga.; Austin, Tx.; Dallas, Tx; Houston, Tx.; Long Island, NY; Los Angeles, Ca. and New York City. The Medical Equipment and Diagnostic Services Division's national sales force markets therapeutic and diagnostic modalities utilized at home, in the hospital or in alternative sites.

CONTACT: The Care Group

Pat Celli, 800/999-0576

or

KCSA

Les Schupak/Joseph Mansi

212/682-6300 ext. 207/205