Less than 2 weeks after Option Care Health revealed a proposed $3.6 billion acquisition of house health service provider Amedisys, Addus HomeCare Chair and CEO Dirk Allison stated his business is on the hunt for house health companies.
“We are taking a look at tactical acquisitions in states like Tennessee, Pennsylvania, Ohio and Georgia where we currently have an individual care platform that we can include scientific services on top of,” Allison, whose Frisco, Texas-based business supplies house health, hospice and individual care services in 22 states, informed financiers at the RBC Global Healthcare Conference in New York on Tuesday.
In the extremely fragmented house healthcare market, the name of the video game nowadays is consume or be consumed. One day after Option Care revealed the Amedisys offer, Eagle, Idaho-based Pennant Group, which runs in 14 states, revealed strategies to purchase Colorado Springs, Colorado-based Benefit Home Health Care and Benefit By Your Side for a concealed amount.
Medicare Advantage blazes a trail
The quick development of Medicare Advantage, which now covers over half of Medicare recipients, is among the most significant chauffeurs of house health debt consolidation. In the previous 3 years, the biggest Medicare Advantage strategies have actually engulfed the biggest house health companies.
In 2021, Humana acquired the staying 60% interest in Kindred in the house for $8.1 billion and folded it into its CenterWell brand name. In January, UnitedHealth Group closed its purchase of LHC Group for $5.4 billion. In March, CVS Health subsidiary Aetna completed its acquisition of technology-based house care business Signify Health for $8 billion.
All 3 insurance companies are developing out medical platforms, and see house health as a way to supply much better gain access to, enhance results and sa
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