Hospice M&A Could Overtake Home Health

Though the mergers and acquisitions market for home health remains remains hot, investors will likely shift greater attention towards hospices in 2019 and coming years, according to analysis by the Braff Group, an M&A advisory company. “The market for home health agencies could very well be on ice for a year (or more) beginning July […]

ACO Quality and Cost Control Methods Could Impact Hospice Patients

Accountable care organizations (ACOs) are using patient segmentation to maintain quality of care while cutting costs associated with treating high-need, high-cost patients, such as hospice patients, according to a January report from the Commonwealth Fund. The report comes at a time when hospices and ACOs are exploring opportunities for greater collaboration. For example, VITAS Healthcare, […]

Medicare Advantage Payments Growing More Slowly Than Expected

As hospices prepare for the Medicare Advantage carve-in to become effective in 2021, current Medicare Advantage payments are growing at a slower rate than expected. The US Centers for Medicare & Medicaid Services has proposed a 1.5% increase to the baseline Medicare Advantage payment rates for 2020, below the 3.4% increase that was enacted for […]

Hospice Multiples Are at Unprecedented Levels

Despite hospice valuations being at all-time highs, demographic tailwinds and availability of capital should continue to drive a robust market for companies looking to acquire hospice and palliative care providers. From 2016 to 2018, there were more than 10 transactions of $250 million or higher in total enterprise value, with at least five transactions, individually […]

Infinity Hospice Uses AI to Improve Care and Drive Additional Revenue

Arizona-based Infinity Hospice Care achieved a 97% increase in patient visits during the last seven days of life using a predictive artificial intelligence system developed by the health care technology company WellSky. Stepping up the frequency of these visits improves not only the quality of care but the hospice provider’s bottom line through Medicare’s service […]

Acquisitions Boost Encompass Health Hospice Q4 2018 Revenues 74.1%

Acquisitions were the primary driver of strong financial performance for the Encompass Health (NYSE: EHC) hospice segment during 2018. The company acquired 22 new hospice locations last year, with the majority coming from the purchase of Camella Healthcare for $135 million in May. In fourth quarter 2018 hospice operations grew revenues to $35 million, up […]

VITAS Opens 13,000-Foot Inpatient Hospice Unit in Dallas

VITAS Healthcare—the largest provider of hospice care in the United States— on Feb. 6 opened a 13,000-square-foot inpatient hospice unit at Methodist Dallas Medical Center. The new facility enables VITAS to treat hospice patients whose symptoms have become unmanageable in the home care setting. The unit will begin accepting referrals by the end of February […]