Humana reportedly in talks to buy Kindred
Continuing a flurry of big mergers and acquisitions around healthcare as 2017 winds down, health insurer Humana is reportedly in “advanced talks” to buy Kindred Healthcare with help from two private equity firms.
First reported by the Wall Street Journal, the rumored deal would involve the two firms—TPG and Welsh, Carson, Anderson & Stowe—acquiring Kindred’s 77 long-term acute care hospitals and 19 rehabilitation centers. Humana and the firms together would take over Kindred’s home health and hospice care business. The deal would value Kindred’s stock at $9 per share.
Kindred is the largest home health and hospice operator in the U.S., but has struggled with its $3.2 billion debt load, much of it from its 2015 acquisition of Gentiva Health Services. It’s been rumored to be a takeover target this year and has scaled back in some areas, announcing in Nov. 2016 it would be divesting its 91 nursing homes.
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John joined TriMed in 2016, focusing on healthcare policy and regulation. After graduating from Columbia College Chicago, he worked at FM News Chicago and Rivet News Radio, and worked on the state government and politics beat for the Illinois Radio Network. Outside of work, you may find him adding to his never-ending graphic novel collection.