In a mammoth deal inked late Tuesday, health insurer Humana signed a definitive agreement to acquire the remaining 60% interest in Kindred at Home, the nation’s largest home health and hospice provider, from private equity firm TPG Capital.

The enterprise, including the $2.4 billion stake Humana already has in Kindred, brings the total value of the deal to $8.1 billion.

In a statement, Humana President and CEO Bruce Broussard said acquiring Kindred at Home is part of the company’s strategy to make investments that will help Humana better manage the holistic needs of its members.

Humana CEO Bruce Broussard

“Fully integrating Kindred at Home will enable us to more closely align incentives to focus on improving patient outcomes and on reducing the total cost of care,” he said. “This is critical to deploying at scale a value-based, advanced home health model that makes it easier for patients and providers to benefit from our full continuum of home-based capabilities, leveraging the best channel to deliver the right care needed at the right time.”

As part of the transaction, Kindred at Home’s home health operations will be integrated into Humana’s Home Solutions business. The division will adopt Humana’s new payer-agnostic healthcare services brand, Centerwell, and will transition to CenterWell Home Health.

Owning Kindred at Home outright will enhance Humana’s Medicare Advantage plans, allowing it to focus on bringing care into clients’ homes and better managing healthcare costs.

While Kindred’s hospice and community care operations are included in the deal, Humana said it ultimately will only maintain a minority interest in that asset and is exploring a possible spin-off of those assets at a later date.

Louisville, KY-based Humana became a stakeholder in Kindred at Home in 2018 to deliver integrated care to its customers.

Humana hopes to close the deal sometime in the third quarter of this year.

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This article originally appeared on McKnight's Senior Living