Literature Review

Premier Physician Network partners with Empatia on palliative care Hospice News; by Jim Parker; 4/30/24 Premier Physician Network (PPN) has launched an integrated palliative program among its medical group operations, in partnership with agilon health (NYSE: AGL) and its palliative arm Empatia. The program, branded as Senior Health Connect, will provide a palliative care program for Medicare Advantage patients who suffer from serious illnesses. Senior Health Connect is based on agilon’s palliative care model. “Our role there is as a partner. We bring technology. We bring insights. We can bring powerful data and care pathways,” Dr. Benjamin Kornitzer, agilon’s chief medical officer, previously told Hospice News. 

Deciphera Pharmaceuticals to be acquired by Ono Pharmaceutical for $2.4 billion LevinPro HC; 4/30/24Deciphera Pharmaceuticals announced on April 29 that it has entered into a definitive merger agreement with Ono Pharmaceutical Co., Ltd. to be acquired for a total equity value of $2.4 billion. Upon completion, Deciphera will operate as a standalone business of Ono, from its headquarters in Waltham, Massachusetts. 

Vitas bullish on hospice, palliative care acquisitions following Covenant deal Hospice News; by Holly Vossel; 4/25/24 Chemed Corp. ... subsidiary Vitas Healthcare is ramping up its strategic growth plans in both hospice and palliative care amid rising demand for these services. Vitas earlier this month completed its $85 million acquisition of Covenant Health and Community Services’ hospice operations and one assisted living facility location. Announced in March, the deal marked the company’s first purchase in several years. More transactions are on the horizon amid changes in the marketplace and increased clinical capacity, according to Vitas Chairman and CEO Nick Westfall.

PE-Backed Legacy Hospice acquires HomeCare HospiceLevin Associates; by Avery Swett; 4/19/24 Legacy Hospice, backed by the Chicago-based private equity firm Prairie Capital, announced this week its acquisition of HomeCare Hospice ... HomeCare Hospice is a leading provider of hospice and palliative care services throughout the state of Mississippi. The company operates four locations across the state. 

CHS to sell Tennessee hospital Becker's Hospital Review, by Molly Gamble; 4/18/24 Community Health Systems is preparing to sell off a 351-bed hospital in Tennessee. The Franklin, Tenn.-based health system announced April 18 that it has entered into a definitive agreement to sell 351-bed Tennova Healthcare – Cleveland (Tenn.) to Hamilton Health Care System in Dalton, Ga., for $160 million in cash. The transaction is expected to close in the third quarter of 2024. Earlier this year, CHS CEO Tim Hingtgen said the 71-hospital company was evaluating interest for sales that could yield more than $1 billion in proceeds. In 2023, CHS sold hospitals in West Virginia, Arkansas, and Florida.

Private equity healthcare bankruptcies spiked in 2023, with more expected this year McKnights Senior Living, by Kathleen Steele Gaivin; 4/18/24 Private equity healthcare bankruptcies hit a record high last year, with more expected this year, according to nonprofit Private Equity Stakeholder Project. “The healthcare default and bankruptcy wave is projected to continue in 2024 as companies are increasingly facing credit rating downgrades and potential defaults – and most of the companies at the highest risk are owned by private equity firms,” the organization reported. 

HCA Healthcare faces more Mission Health-related allegations Modern Healthcare, by Alex Kacik; 4/9/24Buncombe County in North Caroline seeks to join state Attorney General Josh Stein’s (D) lawsuit against HCA Healthcare alleging the health system shirked its Mission Health acquisition agreement. When HCA acquired Asheville, North Carolina-based Mission for $1.5 billion in 2019, Stein approved the transaction as long as HCA maintained services and increased behavioral health capacity, among other conditions. Stein in December sued HCA, alleging the Nashville, Tennessee-based for-profit hospital chain has failed to meet those terms. 

California bill would impose more controls on private equity investments in healthcare McKnights Senior Living, by Kathleen Steel Gaivin; 4/9/24 A bill under consideration by the California State Legislature would “add scrutiny on private equity companies when considering healthcare investments, amplifying the pressure already imposed by enforcement agencies in California and throughout the country,” attorneys from Polsinelli told the McKnight’s Business Daily on Monday. ... According to attorneys at Sidley Austin law firm, the legislation would affect “direct and indirect purchases of a material amount of assets and operations of a healthcare facility or provider; changes in voting control of a healthcare facility or provider; or direct and indirect changes in control over the healthcare services or operations of a healthcare facility or provider.”

Lutheran Senior Services/Diakon agreement forms one of largest US nonprofit LTC organizations McKnights Senior Living, by Kathleen Steele Gaivin; 3/29/24 Diakon Senior Living operations and its four continuing care retirement / life plan communities will become part of Lutheran Senior Services under an agreement ... that the organizations say will create one of the largest nonprofit senior living and care organizations in the country. The transaction is pending regulatory approvals and is expected to close this summer.

FTC continues to challenge $320M Novant, CHS deal Becker's Hospital Review; by Naomi Diaz; 3/29/24The Federal Trade Commission filed court documents on March 25 seeking a preliminary injunction to bar Winston-Salem, NC-based Novant Health from its $320 million acquisition of two North Carolina hospitals from Franklin, TN-based Community Health Systems. According to court documents filed in the U.S. District Court for the Western District of North Carolina, the FTC alleged that Novant Health's proposed acquisition ... would "irreversibly consolidate the market for hospital services in the Eastern Lake Norman Area in the northern suburbs of Charlotte."

$45B worth of physician group acquisitions since 2019 Becker's ASC Review, by Paige Haeffele; 3/28/24 Here are 10 of the biggest-budget acquisitions of physician groups, totaling approximately $45.3 billion, as reported by Becker's since 2019: ...

M&A volume may shift from hospice to home health Hospice News, by Jim Parker, 3/26/24 Though many expect a hospice M&A rebound in 2024, the scales are tipping in favor of home health companies among buyers. Generally, signs point to heightened buyer activity this year, particularly among private equity as interest rates start to come down. 

Personal health companies up for sale as costs rise Modern Healthcare, by Diane Eastabrook; 3/26/25 Labor shortages, tighter access to capital and low reimbursements from some payers could force more healthcare providers to shed non-core operations, such as personal care and post-acute care, according to analysts. ... More than three-quarters of 51 active buyers of home health, hospice and personal care companies said they planned to increase acquisitions in 2024, ...