MISSION VIEJO, Calif., Dec. 5, 2011 /PRNewswire/ — The Ensign Group, Inc. (NASDAQ: ENSG), the parent company of the Ensign(TM) group of skilled nursing, rehabilitative care services, hospice care and assisted living companies, announced today that it has acquired Rosewood Rehabilitation Center, a 99-bed skilled nursing facility located in Reno, Nevada. The asset acquisition was effective on Thursday, December 1, 2011.

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“This is a strategic acquisition that extends our growing footprint into the Reno area’s vibrant healthcare community,” said Cory Monette, President of Ensign’s Northern California-based Northern Pioneer Healthcare, a subsidiary of which will operate Rosewood. Noting that the facility has an excellent clinical history, a stable long-term staff and an outstanding reputation in the community, he called it “the perfect platform on which to establish Ensign’s presence as a premier skilled nursing provider in Nevada.”

Rosewood was operated for 5 years by the Morton family, and the sale was prompted by the pending retirement of Tom Morton, the long-time administrator. Rusty Marsh, the newly-appointed Executive Director of Rosewood and a long-time Ensign administrator, added that the Morton family “has done an incredible job of creating a caring, competent and patient-centered environment,” and that Northern Pioneer and Ensign are hoping to enhance and build upon what he called “the outstanding foundation of quality care already extant in Rosewood.”

Rosewood had an occupancy rate of approximately 69% at acquisition, and is expected to be operationally accretive to earnings in 2012. An Ensign holding subsidiary purchased Rosewood with cash.

Ensign management confirmed that the company is actively seeking additional opportunities to acquire both well-performing and struggling long-term care operations across the United States. The acquisition brings Ensign’s growing portfolio to 101 healthcare facilities, three hospice companies and four home health businesses in 10 states.

About Ensign(TM)

The Ensign Group, Inc.’s independent operating subsidiaries provide a broad spectrum of skilled nursing and assisted living services, physical, occupational and speech therapies, home health and hospice services, and other rehabilitative and healthcare services for both long-term residents and short-stay rehabilitation patients at 101 facilities, three hospice companies and four home health businesses in California, Arizona, Texas, Washington, Utah, Idaho, Colorado, Nevada, Iowa and Nebraska. More information about Ensign is available at http://www.ensigngroup.net.

SOURCE The Ensign Group, Inc.