[UPDATED] CMS 2025 Proposed Rule Signals Changes to Quality Measurement, Omits Program Integrity Actions

The 2025 proposed hospice rule is raising some questions along with payment rates. In a proposed rule released yesterday, the U.S. Centers for Medicare & Medicaid Services (CMS) proposed a 2.6% increase in hospice per diems for 2025. The agency also proposed two new quality measures and 2025 implementation of the Hospice Outcome and Patient […]

Hospice Provider BrightSpring Begins Trading on NASDAQ

BrightSpring Health Services, Inc. has begun trading on the NASDAQ under the stock symbol BTSG. BrightSpring is a home- and community-based health care services platform that serves more than 400,000 patients daily. The company indicated its intent to go public in a Jan. 3 filing with the U.S. Securities and Exchange Commission, expecting a $1 […]

BrightSpring Launches $1B IPO

BrightSpring Health Services is pursuing an initial public offering (IPO) and expects to begin trading on the NASDAQ. The company, which does not yet have a stock symbol, seeks to raise $1 billion through the IPO. The company indicated its intent to go public on Tuesday in a U.S. Securities and Exchange Commission filing. The […]

Enhabit Begins Mulling Strategic Alternatives, Possible Sale

Enhabit Inc. (NYSE: EHAB) has confirmed that it will begin considering “strategic alternatives” that could include a potential sale or merger. The Dallas-based home health and hospice provider announced today that it had satisfied the conditions of its Tax Matters Agreement (TMA) with its former parent company Encompass Health (NYSE: EHC). Enhabit emerged from the […]

Addus Completes Tennessee Quality Care Deal, Anticipates More Transactions

Addus HomeCare Corp. (NASDAQ: ADUS) has completed the acquisition of the home health, hospice and private-duty company Tennessee Quality Care for an undisclosed amount. Across all of its business lines, the Franklin, Tennessee-based provider serves nearly 1,800 patients daily from 17 locations that cover 50 of that state’s 95 counties. Addus covered the transaction with […]

Enhabit’s 2023 M&A Strategy Leans Toward Hospice Assets

After becoming a public entity last year, Enhabit Inc.’s (NYSE: EHAB) M&A journey has narrowed towards hospice, diverting less in home health’s direction. Reimbursement uncertainties, shrinking pools of available assets, and rising valuations in the home health space are forces steering the company’s sights towards hospice, according to Enhabit executives. Large-scale consolidation in both home […]

Option Care, Amedisys Deal Reveals a ‘Whole Different Landscape’ for Hospice Providers

The implications of Option Care Health’s (NASDAQ: OPCH) pending $3.6 billion acquisition of Amedisys Inc. (NASDAQ: AMED) reflect rapidly changing market forces that could affect the industry at large. The rationale behind the transaction rests on four pillars, Option Care executives recently indicated — value-based reimbursement, the importance of scale in payer negotiations, a desire […]

Program Integrity Takes Center Stage in CMS’ 2024 Proposed Hospice Rule

The 2024 proposed hospice rule from the U.S. Centers for Medicare & Medicaid Services (CMS) signals the agency’s earliest response to widespread calls to bolster program integrity within the benefit. In additional to a 2.8% hike in the per diem base rate, the proposal includes new requirements around who can certify patients, health equity initiatives, […]

Amedisys Making Progress on Turnover, Earnings Stability

Amedisys, Inc. (NASDAQ: AMED) is seeing glimmers of improvement on the labor pressures that contributed to uneven earnings performance during 2022. The company has reduced its nurse turnover rate to the vicinity of 20%, surpassing the industry average, Brian Tanquilut, equity analyst for the investment banking firm Jefferies Financial Group, indicated in a note. Jeffries […]

How the 2023 Home Health Rule Could Change the Game in Hospice M&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) […]