Ten days after closing a deal to buy Louisville, Ky.-based post-acute care provider Kindred Healthcare, Humana and two private equity firms completed a $1.4 billion acquisition of hospice operator Curo Health Services, based in Mooresville, N.C. — paving the way for the trio to become the largest hospice operator in the nation.
Humana, TPG Capital and Welsh, Carson, Anderson & Stowe, intend to combine Curo with Kindred's hospice business — Kindred At Home — which would firmly establish the consortium as the largest hospice operator in the U.S.
Humana and the two private equity firms, first announced their intent to acquire Curo Health, which provides care to patients at 245 locations in 22 states, in April.
Under the terms of the Curo deal, Humana will retain a 40 percent stake in Curo Health, and the two private equity firms together will hold a 60 percent stake.
The trio closed on its $4.1 billion deal with Kindred on July 2. TPG Capital and Welsh, Carson, Anderson & Stowe will own and operate Kindred's long-term acute care hospitals and inpatient rehabilitation facilities as a separate hospital company. All three will operate Kindred's hospice, home health and community care businesses, the ones expected to merge with Curo Health.
The trio purchased Curo Health from Thomas H. Lee Partners, a private equity firm based in Boston.