VillageMD to Acquire Summit Health Medical Group
November 7, 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 4, 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 2, 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
October 31, 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
October 271, 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
October 20, 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
October 18, 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
October 17, 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
October 12, 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.