Though hospice deal volume dipped in 2022 compared to previous years, five particular transactions could paint a larger picture of where investors see value in the space. These interesting, unusual or groundbreaking deals could signal what’s to come in 2023 and help shape the hospice market’s long-term future. Optum to pick up LHC Group Though […]
The anticipated acquisition of LHC Group (NASDAQ: LHCG) by the UnitedHealth Group (NYSE: UNH) subsidiary Optum is now expected to close during the first quarter of 2023. Optum in April announced its agreement to purchase the Lafayette, Louisiana-based home health and hospice provider for $5.5 billion. Initially expected to close this year, LHC Group today […]
Louisiana-based CommCare Corporation recently acquired Notre Dame Hospice and Notre Dame Home Health for an undisclosed sum. The Notre Dame Health System was affialated with the Catholic Archdiocese of New Orleans. The archdiocese in August announced an agreement to exit from all affiliated senior care businesses, including the health system. CommCare’s purchase of Notre Dame’s […]
Enhabit, Inc. (NYSE: EHAB) has acquired Southwest Florida Home Care, Inc.’s home health agency in Fort Myers for an undisclosed sum. The transaction expands Enhabit’s home health footprint in Florida to 22 locations. Acquisitions have been on the menu since day one for Enhabit, which spun off from Encompass Health (NYSE: EHC) in July. The […]
Regulatory attention heating up in the hospice industry could be impacting buyers’ mergers and acquisitions decisions. Nuances in the regulatory environment can be difficult to navigate, perhaps more so for private equity and venture capital investors that are new to the industry. Changes to federal enforcement practices during the next year could bring some additional […]
Kansas City-based Hospice Care of America (HCA) was recently acquired by a newly formed holdings company established by the private equity firm Kain Capital LLC. Financial details of the transaction were undisclosed. Kain Capital established PERA Holdings as a way to gain a foothold in the hospice market. HCA marks the company’s first purchase, acquiring […]
Rising interest rates and unlikely to deter investors or strategic buyers from acquiring hospice companies. The Federal Reserve raised interest rates by 0.75% earlier this month. The rates now range from 3.75% to 4%. The Fed will likely institute further rate hikes to combat record-high inflation. Higher interest rates will push up borrowing costs, making […]
Enhabit Home Health & Hospice (NYSE: EHAB) is adapting some aspects of how they integrate newly acquired hospice assets. Early on the company would implement a set of processes that were symmetrical with those in its home health business, but agencies in its hospice segment experienced some difficulties with those transitions. This contributed to a […]
The pendulum of investor interest has swung hard into the hospice market in recent years, but shifts in reimbursement could steer buyers towards home health. Uncertainty earlier this year around Medicare’s proposed 2023 home health payment rates led some stakeholders to expect a swerve towards hospice. The U.S. Centers for Medicare & Medicaid Services (CMS) […]
Expansion across the care continuum is a key to sustainable growth for hospices, according to executives from some of the industry’s largest companies. The hospice industry has been ripe for growth in recent years, plucking the interest of investors from all walks. Hospices have dug deep into the roots of their growth strategies as competition […]
By continuing to use the site, you agree to the use of cookies. more information
The cookie settings on this website are set to "allow cookies" to give you the best browsing experience possible. If you continue to use this website without changing your cookie settings or you click "Accept" below then you are consenting to this.
