The board of directors of CareCentric, an information technology provider to the home health care industry, agreed Thursday to a merger with an investor group led by John Reed, its major stockholder, and his son Stewart.
The deal is worth some $3 million based on the price of 75 cents per share offered by the group.
CareCentric (OTC: CURA) shares closed Thursday at 61 cents. The company has some 4.3 million shares. Shareholders holding less than 4,000 shares will be eligible to exchange the shares for cash.
The merger was endorsed by an independent committee selected to review the proposal, CareCentric said in a statement. The company also said the investment group is likely to take the company private.
CareCentric has some 1,500 customers.