How Hospice Valuations Are Shaping Up in 2024

When it comes to hospice acquisitions, buyers’ and sellers’ expectations on price tags are becoming more aligned. A surge of deals in 2021 and 2022 led to record-high valuations in the space with multiples reaching in excess of 30x in some instances. While many buyers were willing to pay that premium, some stepped out of […]

Early Talks About Governance Essential for Nonprofit Hospice Affiliations

Nonprofit hospices can combine their businesses in a number of ways, including traditional acquisitions, board member substitutions and other types of affiliations. However, member substitutions are becoming more common, according to Meg Pekarske, partner at the law firm Husch Blackwell. While this model offers benefits it can also become a political minefield that can sink […]

Enhabit Elaborates on Decision to Remain a Standalone Company

Dallas-headquartered Enhabit Inc. (NYSE: EHAB) has provided a wider view into its decision to remain a standalone business. On Thursday, the company filed a preliminary proxy statement with the U.S. Securities and Exchange Commission (SEC), part of completing its recent strategic review process. The statement detailed the company’s recent decision not to pursue a sale, […]

Hospice M&A Looking Dim in 2024

Hospice merger and acquisition (M&A) activity tapered off in 2023 and early 2024 compared to the flurry of prior years, due in part to regulatory and economic pressures. Hospice deal volume and valuations have trended down from record-high levels during 2019 through 2022. The cool down began last year as hospice transaction activity lulled. This […]

1Care Enters Behavioral Market with Reset Acquisition

Nevada-based 1Care Hospice, part of 1Care Health, recently acquired Reset Behavior Health for an undisclosed amount. The transaction expanded the pediatric hospice and palliative provider’s geographic footprint in its home state while also marking its entrance into the behavioral health market, according to 1Care Hospice and 1Care Kids COO Eddie Belluomini. The acquisition will allow […]

The Pennant Group Acquires Hospice Provider Nurses on Wheels

The Pennant Group, Inc. (NASDAQ: PNTG) has acquired the Corpus Christi, Texas-based hospice provider Nurses on Wheels Inc. for an undisclosed amount. This is the latest in a string of acquisitions for Pennant. Earlier this month Pennant acquired Utah-based South Davis Home Health and South Davis Hospice. The company in December 2023 picked up Arizona-based […]

VITAS’ Acquisition Pipeline Likely Growing

VITAS Healthcare, a subsidiary of Chemed Corp. (NYSE: CHE), is gearing up for potential acquisitions. The company recently completed its $85 million acquisition of Covenant Health and Community Services’ hospice operations and one assisted living facility location. This was VITAS’ first deal in several years, largely due to record-high valuations in the space, Chairman and […]

Pennant Acquires South Davis Home Health, Hospice

The Pennant Group, Inc. (NASDAQ: PNTG) has acquired Utah-based South Davis Home Health and South Davis Hospice for an undisclosed amount. The Pennant Group and its independent operating subsidiaries provide health care services through 111 home health and hospice agencies and 51 senior living communities throughout several states. “This acquisition provides us with an opportunity […]

VITAS Closes $85M Covenant Health Transaction

VITAS Healthcare, a subsidiary of Chemed Corp. (NYSE: CHE), has completed its $85 million acquisition of Covenant Health and Community Services’ hospice operations and one assisted living facility location. The deal is structured as an asset purchase, which allows the buyer to assume liability for assets included in the transaction. It also brings VITAS into […]

Legacy Acquires HomeCare Hospice

Legacy Hospice has acquired Mississippi-based HomeCare Hospice for an undisclosed sum. HomeCare Hospice operates four locations that cover most of its home state. The deal expands Legacy’s footprint in the South. In addition to Mississippi, the company has a presence in seven states. Legacy is a portfolio company of the private equity firm Prairie Capital.  “With this […]