Cornerstone Healthcare, a subsidiary of hospice, home health and senior living company the Pennant Group (NASDAQ: PNTG), has purchased Montana-based Hospice of Missoula for an undisclosed amount, marking the company’s first foray into that state’s market. Pennant indicated that the company intended to seek out further acquisition opportunities throughout 2020, targeting strategic and underperforming organizations […]
Empath Health, owner of Suncoast Hospice, and Stratum Health, which operates Tidewell Hospice, plan to merge their two companies with an anticipated integration date of January 2023. The two Florida-based companies intend to build a combined, hospice-based integrated care network that would provide home- and community-based services to patients suffering from serious and chronic disease […]
After an active 2019 in the mergers and acquisitions market Louisiana-based home health and hospice provider LHC Group (NASDAQ: LHCG) has fixed its eyes on further growth in 2020 and beyond. LHC Group engages in M&A primarily through joint ventures with hospitals and health systems, which has been the company’s most active growth front. Though […]
The U.S. Centers for Medicare and Medicaid Services (CMS) has announced the capitation rates for hospice care under the value-based insurance design model (VBID), often referred to as the Medicare Advantage hospice carve-in. The agency indicated that medicare advantage organizations (MAOs) during the first month of a patient’s stay would receive Medicare A/B capitated payments, […]
Careful management of resources can help hospices avoid the need to repay Medicare for revenues that exceed the payment cap. Hospices that receive Medicare payments are likely familiar with payment caps: upper limits to the amount of funds a hospice can collect from Medicare in a single fiscal year. Hospices that exceed either the inpatient […]
Hospices provide 50% of the community-based palliative care delivered in the United States, but many find it challenging to make their programs profitable or break even, often relying on philanthropy to support their efforts. However, some organizations are implementing innovative models and developing payer relationships that can turn that trend around. Interest in palliative care […]
Dallas-based Three Oaks Hospice has acquired Peace Hospice & Palliative Care in Naperville, Ill., for an undisclosed amount. Relatively new to the hospice arena, Three Oaks opened its doors in May 2019 and jumped quickly into the mergers and acquisitions market with the September purchase of three hospices in the company’s home state of Texas. […]
Record-high valuations in the hospice mergers and acquisitions market are leading VITAS Healthcare, a subsidiary of Chemed Corp. (NYSE: CHEM), to target growth through de novos and same-store admissions rather than purchasing smaller hospices. Multiples in the home care and hospice space reached as high as 26x EBITDA during 2019, the most significant rise for […]
Acquisitions contributed significantly to the Amedisys (AMED) hospice segment growth during the fourth quarter of 2019, continuing a trend for the past several quarters. The company was active in the hospice M&A space last year, completing several transactions that included its $340 million purchase of Compassionate Care Hospice in February and its tuck-in of RoseRock […]
Brookdale Senior Living’s (NYSE: BKD) hospice business drove growth in its health care services segment, despite fourth quarter financial results from the overall segment that were below expectations. Brookdale Senior Living Inc. is a national senior living community operator whose health services segment provides hospice, home health care, and outpatient therapy services.The company owns and […]