Humana, private equity firms finalize $1.4B Curo acquisition

merger and acquisition
By combining Kindred and Curo, Humana and two private equity firms plan to create the country's largest hospice provider. (istocksdaily)

Humana and two private equity firms have finalized a $1.4 billion acquisition of hospice provider Curo Health Services, the health insurance giant announced on Wednesday.

The closing came nearly three months after Humana announced it would buy the hospice provider alongside private equity firms TPG Capital and Welsh, Carson, Anderson & Stowe from Thomas H. Lee Partners. The insurer will own a 40% stake in the company.

RELATED: Humana partners with private equity firms to acquire hospice provider for $1.4B

Conference

2019 Drug Pricing and Reimbursement Stakeholder Summit

Given federal and state pricing requirements arising, press releases from industry leading pharma companies, and the new Drug Transparency Act, it is important to stay ahead of news headlines and anticipated requirements in order to hit company profit targets, maintain value to patients and promote strong, multi-beneficial relationships with manufacturers, providers, payers, and all other stakeholders within the pricing landscape. This conference will provide a platform to encourage a dialogue among such stakeholders in the pricing and reimbursement space so that they can receive a current state of the union regarding regulatory changes while providing actionable insights in anticipation of the future.

Humana and the firms plan to combine Curo with Kindred at Home, which they acquired earlier this month for $4.1 billion. Under the deal, Kindred’s home health, hospice and community care businesses will be separated into a standalone business, 40% of which is owned by Humana. Over time, Humana will have the option of buying the remaining ownership in the company. The combination would create the largest hospice provider in the country.

The two acquisitions reflect a significant step into postacute care on Humana’s part. Curo operates 245 locations in 22 states, and Kindred has operations in 16 states. Humana said the acquisition will allow it to utilize technology, data and analytics to coordinate care and track clinical outcomes.

Suggested Articles

What are some of the biggest challenges for independent medical practices?

Researchers at two universities plan to develop an autonomous trauma care system that uses robotics and artificial intelligence to treat soldiers.

A change to the government’s voluntary bundled payment model for oncology is going to be bad news for many participants.