The Birmingham, Ala.-based HealthSouth Corp. said Wednesday that it is selling its six long-term, acute-care hospitals to LifeCare Holdings Inc. for about $120 million.
HealthSouth announced the deal in a statement and said it will use proceeds from the sale to pay off debt.
CEO Jay Grinney said the sale will let HealthSouth concentrate on its 97 inpatient rehabilitation hospitals. He said the deal won't change HealthSouth's financial outlook for this year.
LifeCare is based in Plano, Texas. It is buying HealthSouth facilities in Florida, Louisiana, Pennsylvania and Texas.
The sale is supposed to close in the third quarter of this year.