HI² Deal Watch is a curated compilation of recent M&A, growth and investment news from across the greater home care continuum. For questions, comments or contributions, contact tcraig@lincolnchc.com.

Help at Home Continues M&A Run With Purchase of Atlanta-Based Prosper Home Care

March 21, 2023

So much for the slowdown in M&A.  One of the nation’s fastest-growing home care companies, Help at Home, has announced another acquisition – its second deal this quarter.  This time, Chicago-based Help at Home has acquired all of Prosper Home Care, a Georgia-based provider that primarily serves clients under CCSP and SOURCE, both part of the state’s Elderly Disability and Waiver Programs. (Last summer, Help at Help acquired a single location from Prosper in Augusta, GA.)  Prosper Home Care is Help at Home’s tenth home care deal since the company was acquired in an LBO in 2020 by The Vistria Group and Centerbridge Partners.

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Maranon Capital Invests in Growth-Mode Home Health Startup Pathwell Health

March 21, 2023

PathWell Health, a startup home health platform, received a $10 million seed round from Chicago-based PE firm Maranon Capital.  The Stamford, CT-based provider of home health and personal care currently operates in four states, which reflects an expansion strategy that has included three acquisitions since 2020 (Shamrock Home Care in CT; Caring Angels Home Health in VA and WV; and Healthplus Home Health Care in CA.) The company’s website positions the provider as having a growth-through-acquisition strategy. But that wasn’t always its positioning. Prior to the pandemic, PathWell began as a technology platform focused on helping operators with back-end strategies.  With the arrival of COVID-19, the company pivoted to its current care-delivery model.

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InTandem-Backed HouseWorks to Purchase Personal Care Business from Amedisys

March 21, 2023

Boston-based Houseworks, which was acquired by InTandem Capital in December, has agreed to purchase most of the personal care business from Amedisys Inc.  The deal, which is expected to close mid-year, represents a near-complete divestiture of personal care from the Amedisys portfolio. (Amedisys will retain its personal care business in the Florida market.)  Michael Trigilio, who joined HouseWorks as CEO last April, was the CEO of Massachusetts-based Associated Home Care (AHC) at the time of it its acquisition by Amedisys in 2016. Trigilio went on to serve as President of Amedisys’s Personal Care Division through 2020.  Trigilio also serves as the CEO of eCaring, a 10-year-old home care software company that was acquired by Houseworks in 2020.

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Powerhouse Gentiva to Acquire Heartland Hospice and Home Care from ProMedica

March 21, 2023

Gentiva is adding to its position as the largest hospice provider in the nation with the purchase of Heartland Hospice from ProMedica. The deal increases the number of locations Gentiva operates to 500, up from 360. The resurgence of Gentiva is a complex web of growth, acquisition and divestiture.  As a former top brand in the home care arena, Gentiva Health Services was acquired in 2015 by Kindred Healthcare, giving rise to Kindred at Home.  In recent years, Humana invested in (and then ultimately purchased) the home health business from Kindred, while PE firm Clayton, Dubilier & Rice executed an estimated $2.8 billion LBO of Kindred Hospice and Personal Care business, which is subsequently renamed Gentiva.  How Heartland became part of ProMedica adds to the complexity of the story.  Long term care operator HCR ManorCare sold its Heartland Hospice and Home Health Care division in 2018 to Quality Care Properties, which was in turn sold to ProMedica and WellTower as part of the blockbuster senior care joint venture announced in 2018.  The acquisition of Heartland by Gentiva is part of a larger, ongoing divestiture of many of the holdings within ProMedica’s senior care division.

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Best Buy to Partner with Atrium Health to Advance Hospital at Home Program 

March 21, 2023

Another chain retailer is making giant strides into healthcare services.  After initial investments in in-home healthcare technology, such as remote monitoring company Current Health (which it purchased in 2021) Best Buy is now turning to hospital at home in partnership with one of the nation’s largest health systems. (Atrium merged with Advocate Health in 2022.) As part of the Best Buy/Atrium partnership, the retailer will provider patient education and logistics and technical support through its Geek Squad division.  Launched originally as a means to accommodate COVID-19 patients in the home, Atrium’s hospital at home program has evolved into a care model for patients with cardiac, COPD, pneumonia, asthma, infections and other medical and post-operative conditions, according to the company.

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Optum/LHC Deal Closes; Provider Delisted from NASDAQ 

March 21, 2023

Nearly a year after the United Health Group’s Optum division announced its intention to acquire one of the leading home health providers in the nation, the $5.4 billion deal has finally closed.  Having withstood scrutiny from the FTC, as well as opposition from an outspoken shareholder, the deal between Optum and the LHC Group will result in United increasing its home health presence by 960 locations in 37 states.  In 2022, LHC produced revenue of $2.2 billion.  According to reports, senior leadership at LHC will stay on as part of Optum Health, and Keith Myers (the CEO of LHC) will invest $10 million in UnitedHealth Group stock as part of the arrangement at close.

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CVS Health to Acquire Oak Street Health

February 15, 2023

CVS has raised the stakes – once again – on the ownership of primary care for seniors.  Almost five months to the day after it secured a deal to acquire Signify health, the company (once described primarily as a pharmacy-focused entity) is making another huge splash in healthcare services, and in turn changing its identity as a corporation, with the $10 billion acquisition of Oak St Health, a darling of the new generation of purpose-built, MA-focused value-based primary care companies.  (The deal is an all-cash transaction at $39 per share, representing an enterprise value of approximately $10.6 billion, according to CVS.)  This is the fourth major primary care investment by a strategic in the last 36 months.  In Q3/2020, Humana invested $100 million in Heal; in Q1/2021, Optum acquired Landmark Health; and in Q3/2021, Walgreens acquired VillageMD.  CVS’s transformation to healthcare services started in earnest in 2018, when it orchestrated a $69 billion merger with Aetna, the biggest health care merger in U.S. history, positioning CVS among the top three insurance companies in the nation.

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InTandem Capital Makes Majority Investment in HouseWorks

February 15, 2023

New York-based InTandem Capital Partners has executed a leveraged buyout of HouseWorks, one of the New England’s leading independent personal care companies. InTandem gains operations in four Northeast states where Houseworks operates, including Massachusetts, New Hampshire, Maine and Pennsylvania. HouseWorks is only the latest in a growing portfolio of InTandem holdings, which also includes Providence Care, Cano Health and Pediatric Health Services.  According to media outlets, HouseWorks CEO Michael Trigilio has said the funds will be earmarked for investment in technology and to accelerate expansion efforts. Visit source to read full story

Corridor Group Acquires Outsourced Services Business Unit of Select Data

February 15, 2023

Two of the home care industry’s leading coding and revenue cycle management companies, The Corridor Group and Select Data, have entered into an agreement in which Corridor has agreed to acquire the outsourced services business unit of Select Data.  As a result of the sale, Select Data is repositioning itself to focus on its AI-enabled “SmartCare” automation of the post acute health record review process. Financial terms of the deal were not disclosed, however as part of the deal Corridor, a portfolio company of HealthEdge Investment Partners, will be a client of SelectData, and will begin deployment of its SmartCare technology. Visit source to read full story

KPMG Report: Home Care M&A to Tick Up in 2023, with PE Activity to Lead the Way

February 15, 2023

A recent KPMG report has identified investment trends in home care for the coming year.  Based on a survey of “post acute investors”, KMPG found that two-thirds of investors said they expect activity in home health and hospice to increase (43% said an increase of up to 10% increase; 23% said up to 20%; 26% said unchanged.) As part of the report, investors identified trends most likely to impact investment in the sector, including:  Increased Enrollment in MA; Technological Enhancement to Reach Patients; and Regulatory/Policy Changes that Impact Profit Margin.  KPMP highlighted the following areas as most likely to dominate the home care investment landscape in the near term:  Private equity will be more active than strategic buyers, who may be hampered by rising interest rates; increased staffing costs will hinder margins and may, in turn, hold down valuations; and finally deal volume will feature mostly “mom and pop” and middle-market deals.  Visit source to read full story

Report: FTC Unlikely to Hinder UnitedHealth Group’s Acquisition of LHC

February 15, 2023

The on-again, off-again scrutiny by the FTC of the UnitedHealth Goup’s $5.4 billion acquisition of LHC Group appears to have subsided.  After published reports surfaced that the Federal Trade Commission (FTC) was requesting further documentation and raising concerns of “potential vertical harm theory”, news outlet CTFN issued a subsequent report that any concern about “vertical harm” was not likely to impact the deal, and that it was headed for unconditional approval from the FTC. UHG and LHC expect to close the deal within the first quarter of 2023, therefore extending the acquisition termination date to March 28^th. Visit source to read full story

Eden Health Acquires Community Home Health & Hospice

February 15, 2023

Eden Healthcare Management, a WA-based provider of home health, personal care and hospice, has acquired Community Home Health & Hospice, an independent, community-based non-profit healthcare agency serving Washington and Oregon since 1977.  The deal extends Eden reach into Clark, Cowlitz, Columbia, and Wahkiakum counties.  The transition of care of patients to Eden will formally take effect May 1. Visit source to read full story

NY-based Firmament Invests in Family Tree Private Care

February 15, 2023

Middle-market PE firm Firmament has invested an undisclosed sum in personal care company Family Tree Private Care, a concierge-level caregiving, private nursing, and care management services provider in Texas and Colorado.  The investment, according to a company announcement, has been earmarked for density growth in existing markets, expansion into new geographies, and diversifying service offerings.  Family Tree Private Care is a division of Genova Health, a Houston-based home care company with approximately 17 brands spanning home health, personal care and care management services.  Visit source to read full story

Synergy HomeCare Expands into 50 New Franchised Markets in 2022

February 15, 2023

Synergy HomeCare, a portfolio company of NexPhase Capital, has been recognized as the nation’s fastest growing home care franchisor by Entrepreneur magazine.  According to the company, it acquired 57 new “territories” in 2022, marking a three-year increase of 35% of its home care footprint. Synergy CEO Charlie Young credits its new “Recruiting Management System” for the year-over-year growth. Currently, Synergy has more than 200 franchises across 40 states.  The company is ranked 483 on the Entrepreneur 2023 Franchise 500 Ranking. Visit source to read full story

Monogram Health’s $375 M Series C Raise Includes Humana and CVS among Investors

February 15, 2023

Monogram Health, a VC-backed provider of in-home kidney care, announced a new round of Series C funding led by Humana, CVS Health, and Cigna. (Other investors in the round included SCAN Group, TPG, Heritage Group, Pace Capital, Sequoia Capital, BoxGroup and Pura Vida.) In its announcement of the funding, Monogram said the funds will be used to continue the growth of its in-home kidney and polychronic care delivery model and tech-enabled evidence-based clinical services.  In addition to funding, the new investors will expand Monogram’s “world-class syndicate” of investors. According to reports, those investors collectively account for more than 30% of Medicare Advantage members across the country. Visit source to read full story

Orlando Health to Roll out Hospital at Home in Partnership with Biofourmis

February 15, 2023

Orlando Health has joined together with Biofourmis, a healthcare technology company, to launch a hospital-at-home service throughout its 23-hospital network. With more than 3.9 million outpatients in 2022 alone, Orlando Health strategically collaborated with Biofourmis to develop a continuum of in-home hospital grade care. The H@H program is expected to launch in mid-2023.  Last year, Biofourmis received a $300 million Series D injection of funding led by General Atlantic and CVS Health.  Visit source to read full story

Dollar General Dips Toe in Healthcare Services Waters with New “In-store” Clinics

February 15, 2023

Dollar General is the latest retailer to enter the healthcare delivery fray with the launch of a new in-store clinic pilot in partnership with mobile health provider DocGo (formerly Ambulanz).  Merging the worlds of in-store and mobile clinics, the new Dollar General healthcare services will offer basic, preventative and urgent care services, along with lab testing, in “van clinics” in store parking lots, on a walk-in and appointment basis.  To start, the retailer will test the program in three stores in Tennessee. Last summer, Dollar General made headlines with the announcement of a new healthcare advisory panel to explore expansion into healthcare services.  Among the panelists is Dr. Patrick Carroll, the former Chief Medical Officer at Walgreens. Visit source to read full story

The Numbers Are In: Megadeals Drove Home Care M&A Value Up in 2022

January 12, 2023

Despite overall home health & hospice deal volume being down in 2022, overall growth was up 74% as a result of the value of a handful of megadeals.  CVS’s acquisition of Signify Health and United Health Group and Optim’s acquisition of LHC Group represented more than $14 billion combined. Village MD’s acquisition of Summit Health chimed in for $8.9B, while Chubb’s acquisition of Cigna’s supplemental benefits business accounted for $5.4B. Home health & hospice was one of only two subsectors that displayed growth in 2022, with the other being rehabilitation. Visit source to read full story

Chapters Continues M&A Run; Hope Healthcare Closes, Capital Caring Deal Pending

January 12, 2023

Chapters Health System announced two affiliations in the transition to 2023, including the completed affiliation with Hope Healthcare, and the intention to affiliate with Capital Caring Health within calendar 2023. These affiliations will allow Chapters Health System to expand its not-for-profit community-based healthcare systems within Florida, Georgia, Virginia, Washington, D.C. and Maryland. The announcement of the affiliations comes almost exactly one year after Chapters penned a similar affiliation with Central-Florida based Cornerstone Hospice & Palliative Care.  The most recent alignment with Hope brings Chapters footprint in Florida to 35 counties. Visit source to read full story

SCAN CEO’s 2023 Predictions: Home Care Interest Will Remain High, but Setting Not Right for Everyone

January 12, 2023

Sachin Jain, MD, the CEO of Medicare Advantage plan SCAN Group (soon to be renamed HealthRight) has made a series of predictions for healthcare in 2023 as part of his regular contributions to Forbes. In addition to predicting more scrutiny of MA plans and opportunistic PE investing, Dr. Jain believes the healthcare industry will continue to migrate more care into the home because “the surface logic will continue to make it quite appealing.” However, he warns against shifting too much reliance onto the family caregiver and says the long-term viability of higher acuity care in the home will hinge on strong “patient outcomes and experience,” adding that we need to acknowledge that home care is “not the right point of service for all patients.” Visit source to read full story

Amedisys JV Brings Acute Home Care to U. of Ark. for Medical Sciences

January 12, 2023

Amedisys ended the year by closing another health system joint venture, this time with the University of Arkansas for Medical Sciences (UAMS) in the markets of Searcy and Little Rock. The venture focuses on Contessa, the hospital at home division Amedisys acquired in 20XX.  As part of the JV, UAMS will stand up a new array of services, including Recovery Care at Home, Rehabilitation Care at Home, Palliative Care at Home, Primary Care at Home and Home Health.  This deal increases the home health activities of Amedisys to more than 350 locations in 35 states. Visit source to read full story

Superior HealthPlan/MedArrive Deal Latest Evidence Payers are Pushing Wellness

January 12, 2023

Texas-based payer Superior HealthPlan has inked a deal with MedArrive for a white-label healthcare services and care management arrangement through MedArrive’s field provider network of paramedics, EMTs and other healthcare professionals. The goal of the program, which includes virtual mental health offerings by Brave Health, encompasses healthcare services, diagnostics, health assessments and other preventive measures for Superior’s members.  Visit source to read full story

Executive Home Care’s Portfolio Expands with Acquisiton of Grason’s Co. Estate Sale Services

January 12, 2023

The Riverside Company has announced the addition of Grason’s Co. Estate Sales Services & Business Liquidation to its Executive Home Care (EHC) platform of non-medical in-homecare solutions for seniors, differently abled and assisted living clients. Loren Schlachet of Riverside expressed the extension of Grason’s, “addresses more senior needs along the care and living placement continuum.” Grason’s has 30 years of estate sales experience expanding EHC’s footprint by over 30 locations all operating through an independent franchisee model. Visit source to read full story

Revelstoke’s The Care Team Seals Two Deals: InTeliCare in Michigan, 1^st Care in Indiana

January 12, 2023

The Care Team (TCT), backed by PE firm Revelstoke Capital Partners, announced its acquisitions of InTeliCare Home Health & Hospice (ITC) and 1^st Care Home Health and Care Hospice (1^st Care). Michigan-based The Care Team will expand its brand up north into ITC’s Traverse City and Gaylord operations and east into Standish as well as into Indiana into 1^st Care’s facilities by continuing to deliver an array of homebased nursing, therapy and care services. ITC’s top executives will join TCT on a consultative basis, while select leadership from 1^st Care will transition with The Care Team. Visit source to read full story

Pine Park Grows ‘In-Home’ MD Services for Senior Living with Purchase of GSC Nevada

January 12, 2023

Senior-focused medical group Pine Park Health of Las Vegas is adding to its value-based in-home services positioning in the Northern region of Nevada with the acquisition of Geriatric Specialty Care of Nevada, a pioneer in “home-based” geriatric care. Pine Park and Geriatric Specialty Care have both established reputations for delivering “in-home” care within senior living communities.  According to Pine Park CEO Dan O’Neill, the CSG deal extends the company’s client portfolio to include Mission Senior Living, Clearwater Living, Pegasus Senior Living, Cascade Living Group and Five Star Senior Living. Visit source to read full story

Help at Home Adds Delaware to Footprint, Strengthens Position in PA

January 12, 2023

One of the leaders in the homecare sector, Help at Home, has expanded into Delaware and strengthened its PA service areas with the acquisition of Open Systems Healthcare (OSH). OSH’s existing operations in Delaware gives Help at Home the opportunity to expand its portfolio into its thirteenth state. Continuing to deliver home-base healthcare services to the residents of DE and PA fits into the care model of Help at Home. The acquisition transfers operations from OSH to Help at Home in more than 68 counties in the Pennsylvania homecare market adding to Help at Home’s existing 65,000 clients across all existing locations.  Visit source to read full story

24 Hour Home Care Acquires Inteli-Care, Expands into New Mexico

December 13, 2022

24 Hour Home Care has acquired Inteli-Care, a family-owned company focused on Medicaid personal care services.  It is 24 Hour Home Care’s first foray into Medicaid services, and it expands its brand into New Mexico, its fourth state. (Previous to this acquisition, 24 Hour Home Care operated in California, Arizona and Texas.)  Inteli-Care is the second investment by 24 Hour Home Care since it was acquired in 2021 by Team Services Group via it’s PE sponsor Alpine Investors.  Last year, 24 Hour Home Care bought Trusted Life Care, a home care agency serving Orange and Los Angeles counties. The deal expands Team Services Group’s portfolio to 10 home care brands, serving more than 40,000 clients with roughly 60,000 caregivers. Visit source to read full story

Lorient-backed PurposeCare Expands Portfolio by Adding Four New Agencies

December 13, 2022

Lorient Capital is adding to its Indiana-based PurposeCare platform company – acquired in 2021 – with the addition of four new companies: Alliance Home Health Services (IN); A-1 Health Care (OH); Honor Home Health (OH); and Newsome Home Health Care (IL).  All four deals were announced in mid-November.  PurposeCare’s primary business model is centered on the dual eligible population. Visit source to read full story

New York PE Firm Kain Capital Sets Sights on Hospice, Makes First Acquisition

December 13, 2022

New York PE firm Kain Capital has announced the creation of PERA, a holdings company designed specifically to invest in hospice companies.  PERA’s first acquistion, Hospice Care of America (“HCA”), is a Kansas City-based organization that operates a group of affiliated hospices in Kansas, Missouri, Oklahoma and Colorado. PERA’s new CEO Kris Stice called the purchase of HCA the group’s first step in the creation of a “national footprint” of hospice and palliative care services.  Details of the purchase were not disclosed. According to the Kansas City Business Journal, HCA operates separate business units in each of its four markets. Visit source to read full story

Enhabit Buys Southwest Florida Homecare, Increases Florida Presence to 22 Locations

December 13, 2022

The nation’s fourth largest provider of Medicare-certified home health services is strengthening its position in Southwest Florida with the acquisition of Fort Meyers-based Southwest Florida Homecare, the company announced in early December.  The deal brings Enhabit’s homecare and hospice service lines to more than 20 locations in Florida.  Financial terms or conditions regarding the agreement were not disclosed.  Southwest Florida Homecare operates home care services in the Tampa and Fort Meyers markets.  The Enhabit announcement only identifies the company’s Fort Meyers locations as part of the deal. Visit source to read full story

Humana to Shut Down Two-Thirds of SeniorBridge Locations, Focus on Medicare Advantage

December 13, 2022

As part of the ongoing reorganization announced this fall by Humana, the nation’s second largest Medicare Advantage insurer is turning the page on the 23-location SeniorBridge division it acquired a decade ago, include all but a handful of operations in New York.  Markets affected include Arizona, Connecticut, Florida, Massachusetts, New Jersey, Ohio, Texas and Virginia. The closings are effective immediately.  SeniorBridge focused on four core components: personal care; private duty nursing; infusion; and care management.  Humana announced earlier this year that going forward home care services will be consolidated under the newly formed CenterWell brand, and that the division will expand in 2023 into new markets including Indiana, Mississippi and Virginia. Visit source to read full story

BAYADA and UHS Launch Manatee Health at Home by BAYADA

December 13, 2022

Bayada Home Health Care has formed a new joint venture with Manatee Healthcare System, an integrated system serving 400,000 people in Bradenton, FL.  The deal is part of Bayada’s ongoing strategic partnership with Manatee parent Universal Health Services (NYSE: UHS).  The venture, called Manatee Health at Home by BAYADA, is designed to help Manatee patients, as well as those of other providers, manage chronic conditions or recover from surgery or other rehab purposes.  The JV is the second between Bayada and UHS.  In January, Bayada secured a similar JV partnership with UHS’s Valley Health Sytem in Southern Nevada. Neither JV announcement disclosed the financial details of the arrangment. Visit source to read full story

PE’s Post Acute Investments Focus on Home, Not SNF: Skilled Nursing News

December 13, 2022

Citing a recent report by Axios, long term care media outlet Skilled Nursing News issued a recent analysis of investment in senior care, and their conclusion underscores an ongoing healthcare trend:  Future care delivery is focused on the home, with investors actually discouraging the use of in-facility care.  The SNN article identifies “value creation” in the healthcare continuum as the main impetus for investment and identifies in-home care and primary care as the two main driving forces.  “Finding people that have been least well served by the existing infrastructure” is the basis for developing new models, according to General Atlantic’s Robbert Vorhoff.  The article also cited PitchBook data showing $206 billion in private equity healthcare investment in 2021, concentrated in a half dozen areas, including hospice and physician practices.

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AmeriCare Medical Acquires QCN Home Health Care

December 13, 2022

Michigan home care company AmeriCare Medical is taking its first big step into Medicare-certified home health with the acquisition of Southern Ohio-based QCN Home Health Care. Details of the deal were not disclosed.  President and CEO Greg Jamian cited home health’s anticipated 8% in Compound Annual Growth Rate (CAGR) from 2022 to 2030 as the driving reason to expand the breadth of the company.  The addition of QCN increases Americare’s holdings to six core divisions.  In addition to home health, they include nurse staffing, DME, private duty, infusion and case management.  QCN is a veteran-owned company that began in 1992 by two former Navy nurses. Visit source to read full story

Elevance Health’s BioPlus Acquisition to Help Identify In-Home Care Opportunities

December 13, 2022

Elevance Health (formerly Anthem) is continuing to extend its capabilities in the in-home care field.  The company called its recent acquisition of BioPlus, a specialty pharmacy for complex and chronic patients that it purchased from Nautic Partners in early November, a means of identifying members in need of “in-home care services,” which Elevance will channel toward its healthcare services arm, Carelon. After the close of the acquisition, which is expected in the second half of 2023, BioPlus is expected to fold into IngenioRx, Carelon’s existing pharmacy benefit manager.  In the last few years, Elevance (Anthem) bolstered in home care holdings through the acquisition of pallaitive care provider Aspire Health (2018) and more recently post acute benefits management company myNexus (2021). Visit source to read full story

Best Buy Extends In-Home Capabilities with Investment in RPM Logistics Platform Coeus h3c

December 13, 2002

Retail giant Best Buy has invested in startup company Coeus h3c, an RPM Logistics Platform, in an effort that Best Buy Health president Deborah DiSanzo called a demonstration of its commitment to “enabling care at home for everyone,” and “our core capabilities in omnichannel retail, in-home services.” The amount of the investment was not disclosed.  Coeus’s Home Health Hybrid Cloud (h3c) is a backend logistics platform for RPM vendors designed to facilitate procurement, provisioning, delivery, installation and maintenance.  In Q4 2021, Best Buy invested $400 million to acquire Current Health, a consumer-facing remote patient monitoring company. Visit source to read full story

VillageMD to Acquire Summit Health Medical Group

November 16, 2022

VillageMD, the value-based primary care provider majority-backed by the Walgreens Boots Alliance, has acquired Summit Health-CityMD, a recently merged entity of physician services and urgent care centers. The deal, which was valued at $8.9 billion, is backed by investors Walgreens and Evernorth, a subsidiary of Cigna.  As one of the largest managers of the Direct Contracting/Reach ACO program, VillageMD will bolster its presence by 370 locations, in New Jersey, New York, Connecticut, Pennsylvania and Oregon.  Earlier this year, VillageMD strengthened its in-home primary care arm, Village Medical, with the acquisition of Indianapolis-based house calls provider Grace at Home. Visit source to read full story

Mertz: Home Care Deal Volume ‘Sluggish’ in Q3, to Pick Up in Q4

November 16, 2022

Comparative year-over-year Q3 deal volume for home health, personal care and hospice was down across the board, according to M&A advisory firm Mertz Taggart.  The firm’s Q3 2022 “M&A Update” cited the CMS proposed rate ruling as a cause for trepidation among sellers and therefore a “temporary slowdown”; the firm expects volume to increase in 4Q.  “Despite the overall downturn, the lower middle market — companies with enterprise values between $3 million and $100 million — hasn’t taken a significant hit,” according to the report.  Among the three main in-home care sectors that Mertz tracks, only hospice experienced an increase in deal volume in Q3 (11 deals verus 7 in Q2). Visit source to read full story.

Lifespark Acquires Livio Health; Deal Gives BCBS of Minnesota Ownership Stake

November 16, 2022

Minnesota-based Lifespark, the self-proclaimed “complete senior health company”, announced earlier this month the acquisition of Livio Health, a company specialized in in-home health services to people with chronic and complex illness, including in-home urgent, palliative and medical aid.  As part of the undisclosed cash agreement, Livio Health’s parent company, Blue Cross and Blue Shield of Minnesota (Blue Cross), secured a minority ownership stake in Lifespark. Upon the close of the deal – expected within the next few months – Blue Cross eligible member benefits will expand to include Lifespark services. Visit source to read full story.

Heal to Delivery Primary, Urgent Care to Cigna MA Beneficiaries

November 16, 2022

Cigna Corporation and Heal, an in-home primary care provider that specializes in house calls, telemedicine, and remote patient monitoring, announced a partnership to offer in-home services to Cigna Medicare Advantage (Cigna MA) members in Illinois, North Carolina, South Carolina and Georgia, effecitve immediately.  The partnership calls for Heal to deliver in-home urgent, primary and preventative care services to qualified Cigna MA members.  In CY 2020, a CMS report for CY 2020 about Heal’s participation in the Independence at Home (IAH) demonstration found that the home-based primary care orgnization saved Medicare approximately $10,000 in healthcare costs per patient, for which Heal received $2.58 million in incentive payments. Visit source to read full story.

Home Instead, DispatchHealth Expand Acute In-Home Care Collaboration

November 16, 2022

One of the nation’s largest home care companies, Home Instead, is expanding its partnership with DispatchHealth for on-demand in-home acute care services delivered by a mobile medical team. Piloted in select markets during the fourth quarter of 2021, the expanded collaboration brings DispatchHealth services – which a recent press release identified as treatment for viral or bacterial infections, asthma attacks, wounds, bed sores and pressure ulcers, and minor fractures and sprains – to Home Instead clients in 30 markets.  Home Instead reported that it was able to prevent unnecessary trips to the hospital for 55% of its clients that used DispatchHealth services. Visit source to read full story

Signify Health Acquisition by CVS Delayed by DOJ

November 16, 2022

CVS Health was asked to provide additional information to The U.S. Department of Justice (DOJ) regarding the acquisition of Signify Health, delaying the proceedings by 30 days. Back in September, CVS secured the bid to obtain Signify Health for $8 million facilitating CVS’s first step into the at-home health care field. The deal is currently under review by the Federal Trade Commission. If it clears the review by the DOJ and the FTC, Signify Health may officially be a part of CVS by the middle of 2023. Visit source to read full story.

Flare Capital, Allina Co-Launch Inbound Health for H@H and SNF @ Home

November 16, 2022

Minnesota Health System Allina Health and Flare Capital Partners have teamed for the launch of a new hospital-at-home, SNF-at-home service organization called Inbound Health.  Touting a full suite of services capable of scaling acute at-home care, including “home-based care pathways, virtual care teams, engagement and workflow technology, analytics, supply chain partnerships, operational oversight and payment models,” the new company, which will be led by former Mount Sinai Health System executive Dave Kerwar, was beta-tested at Allina in 2020 and accounted for a cost of care reduction by 30% to 40% compared to conventional facility-based care, the companies reported. Visit source to read full story.

Axios: Tenex Capital Seeking Buyer for Team Select Home Care

November 16, 2022

Axios is reporting that PE firm Tenex Capital has begun seeking bids for portfolio company Team Select Home Care, a full-service home health company that also operates a caregiver training business, The Family CNA Program, targeted to parents and legal guardians of medically fragile children.  Axios reports the deal for Team Select, whose services encompass in-home health care, long term private duty nursing, mobile outpatient therapy, and hospice respite across  seven Western states, is valued at “about 35 million of pro forma adjusted EBITDA, on about $250 million of revenue.” Tenex aquired Team Select through an LBO on October 2, 2017. Visit source to read full story.

Walgreens Boots Alliance Acquires Remaining Stake in CareCentrix

November 16, 2022

Walgreens Boots Alliance, Inc. (WBA) is moving forward with its plan to fully acquire CareCentrix (CCX Next, LLC), accelerating the pharmacy giant’s footprint into the home care sector. In late August, WBA received majority ownership of CCX Next, LLC by acquiring 55% of the company. A deal was recently agreed upon between WBA and CCX Next, LLC to transfer the remaining 45% stake of CCX Next, LLC to WBA for an approximate $392 million. The deal is expected to close next Spring.  Visit source to read full story.