As per the terms of the agreement, Kindred stockholders will receive $9.00 in cash for each share of Kindred common stock they hold, representing a premium of about 27 percent to Kindred's 90-day volume weighted average price ("VWAP") for the period ending December 15, 2017, the last trading day prior to media reports regarding the potential transaction. The remaining stake will be purchased by the private equity firms TPG Capital and Welsh, Carson, Anderson & Stowe. CEO Bruce Broussard said in a prepared statement that care delivered at home is a "vital element" in improving the health of older people living with chronic conditions, which can include diabetes or heart disease. "In addition, the specialty hospital company, Kindred Healthcare, will be uniquely positioned to care for the most medically-complex and rehab-intensive populations".
Humana will have a right to buy the remaining ownership interest in Kindred at Home over time.
As a health insurance provider, the move vastly boosts Humana's home health operations. Indeed, the insurer's Humana At Home division already offers services like skilled nursing and in-home support to 1 million people. Kindred at Home has 609 home health, hospice and non-medical home care sites of service.
"Humana is focused on enhancing our capabilities for care in the home to prioritize patient wellness while delivering high-quality care in a low-priced setting", Humana President and CEO Bruce Broussard stated.
NFL Network sex-harassment claim hits Donovan McNabb, Marshall Faulk
McNabb - Sccused in the suit of texting her explicit comments. "Also, while Plaintiff [Cantor] was working on set on a ladder, Mr. Taylor is accused of sending inappropriate photos to her via text as well as a video of him masturbating in the shower.
"We are excited about the opportunity this acquisition provides to advance our vision for integrated care delivery, as we continue to deliver our Humana At Home capabilities while building a transformative platform for the future", Broussard added. "We look forward to completing this strategic transaction with TPG and WCAS".
Chicago-based real estate investment trust (REIT) Ventas Inc. Kindred's LTAC hospitals, IRFs and contract rehabilitation services businesses will be operated as a separate specialty hospital company owned by TPG and WCAS.
Regulators and Kindred shareholders still need to approve Humanas acquisition, which the companies expect to close next summer.