A consortium of three companies led by health plan administrator Humana Inc has acquired the Kindred at Home Division of Kindred Healthcare Inc, for approximately $4.1 billion in cash, including the assumption or repayment of net debt.

Kindred operates home health, hospice and community care businesses, long-term acute care hospitals, inpatient rehabilitation facilities, and a contract rehabilitation services business.

Immediately following the acquisition of Kindred, the home health, hospice and community care businesses will be separated from Kindred and operated as a standalone company owned 40% by Humana, with the remaining 60% owned by TPG Capital and Welsh, Carson, Anderson & Stowe (“Kindred at Home”)

“We believe this agreement maximizes value for stockholders and represents a significant step forward in transforming home healthcare in America by enhancing access to care and reducing costs for people living with chronic conditions.”

“In addition, the specialty hospital company, Kindred Healthcare, will be uniquely positioned to care for the most medically complex and rehab-intensive populations,” says Benjamin A. Breier, president and chief executive officer of Kindred, in a media release.

“The acquisition of a minority interest in Kindred at Home, the largest home health company in the country with significant overlap with Humana membership, brings to us an experienced, well-respected home health provider with robust access to extensive clinical capabilities that will allow us to accelerate our strategy to more deeply integrate with our members’ lifestyles,” states Bruce D. Broussard, Humana’s president and chief executive officer, in a separate news release.

“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.”

[Source(s): Kindred Healthcare Inc, Humana, Business Wire]