Humana to get full ownership of Kindred for $8.1 billion
Humana agreed to buy the 60% stake it doesn't already hold in Kindred at Home, the country's largest home health and hospice care provider, from TPG Capital and Welsh, Carson, Anderson & Stowe at an $8.1 billion enterprise value.
Why it matters: Home healthcare demand is surging as the U.S. population ages, and President Biden's infrastructure plan includes $400 billion in new spending for at-home senior care. Plus, Humana has been the insurer most aggressively participating in a test program to increase hospice coverage under Medicare Advantage.
The bottom line: "Kindred at Home cares for 550,000 patients in their residences each year. The company employs nearly 43,000 clinical staff in locations throughout 40 states. Kindred's footprint overlaps with about 65% of Humana's individual Medicare Advantage membership," Hospice News writes.