At long last, Sunrise, Karrington merger closes.

The long-awaited merger of Fairfax, Virginia-based Sunrise Assisted living Inc. and Columbus, Ohio-based Karrington Health Inc., which was announced last October, finally closes with the approval of Karrington shareholders at a special meeting on May 14. The acquisition creates one of the nation's largest assisted living companies, with 126 residences in 22 states and a resident capacity of more than 9,700. The combined company also has 30 properties under construction and another 65 in various stages of development with a resident capacity of more than 7,800.

Wall Street reacted favorably to the news, with Sunrise stock up more than a point at close of trading. Although the FTC greenlighted the deal in December, the process got bogged down by the SEC's requirement that some documents be "re-written in plain English," according to one source. But the delay may not have been unwelcome, says Raymond James analyst James Kumpel. "Sunrise wasn't looking to take on more immature properties faster," he says. "The delay in closing the acquisition bought them more time to right Karrington, whose facilities were half to two-thirds full, before bringing them on board."