Compassus is launching a home health and hospice joint venture with Ohio-headquartered Bon Secours Mercy Health (BSMH).
Through the JV, Compassus will manage the operations of 11 hospice agencies and 10 home health sites across five states. BSMH is the fifth-largest Catholic health system in the United States, according to a joint press release from the two organizations.The health system’s 60,000 employees offer services through more than 1,200 care sites in seven states, including 48 hospitals.
“As the dynamic health care environment continues to evolve, we want to make sure we keep our patients at the center of everything we do, and finding the right partner for this important, specialized work has been essential to ensuring continuity of care well into the future,” Don Kline, chief operating officer for BSMH, said in a statement. “We are confident that we have identified a mission- and vision-aligned partner in Compassus that will help to fulfill our important commitment to caring for patients at every stage of life.”
BSMH and Compassus will each hold a 50% stake in the JV. Under the agreement, BSMH will maintain ownership of its existing hospice house real estate assets in specific locations while Compassus will manage the operations. Also, an undisclosed number of the health system’s employees will transfer to work at Compassus.
Completion of the JV is subject to customary regulatory approvals.
BSMH has a number of similar ventures with other entities that cover various aspects of their business. Talks about a potential partnership with Compassus began with a discussion of the two organizations’ missions and goals, according to the home health and hospice provider’s CEO David Grams. The leaders of both companies were familiar with one another prior to these initial conversations.
“There’s a recognition on the part of health care providers that we need to increase access, advance clinical outcomes and be good stewards of resources. These partnerships are grounded in those objectives,” Grams told Hospice News. “Then you also look at what integrated home-based care can do for the ecosystem. In any community health system ecosystem, it can create a feedback loop, if you will, that then creates patient loyalty the next time care is required.”
Compassus, a Tennessee-based hospice, home health, palliative care and infusion company, employs more than 6,000 staff who serve in excess of 100,000 patients annually from over 250 locations in 29 states. Compassus has entered into similar partnerships, including a JV with Ascension Health branded as Ascension at Home that expanded in Oct. 2023.
The company is also in talks with other health systems regarding future potential joint ventures, Grams indicated.
“We’re in discussions with other organizations, and We’re excited about the ongoing opportunity to partner with additional health systems to advance their success in a value-based care world,” Grams said.
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