Out of the Gate: VistaCare and Odyssey

Odyssey's all-cash offer comes at a premium of 22.7 percent to the Tuesday closing price of VistaCare shares. VistaCare said it would consider its strategic options, including a sale, in late June, when the stock was worth about $10 per share.

VistaCare stock gained $1.38, or 19.7 percent, to $8.39 in morning trading. They have traded in a 52-week range of $6.05 to $10.79.

Odyssey shares picked up 45 cents, or 5.3 percent, to $8.89.

Although the offer represented nearly a 20 percent premium to VistaCare's Tuesday closing share price of $7.01, Lehman Brothers analyst Kevin Fischbeck said the offer price is "somewhat disappointing" for VistaCare shareholders. While the buyout is a positive for Odyssey, Odyssey shareholders may worry about VistaCare's problems, he added.

"The fact that VistaCare is willing to sell at this price, creates some question about how deep the issues at VistaCare are," he said. In his view, the price "may be a signal that (VistaCare) does not have visibility in its own turnaround plan."