Kindred may be eyeing sale along with skilled nursing exit
Kindred CEO Benjamin Breier said in November the company was leaving the SNF business due to "dynamic changes" in the healthcare industry.
Kindred Healthcare Inc. may be exploring a sale amidst an uncertain future for post-acute care reimbursements, Reuters reported on Friday.
The healthcare giant is rumored to be working with investment banks on the early stages of the sale process, the report said citing “people familiar with the matter.” The potential sale may be spurred by Kindred's shares dropping over the past year, as well as a tumultuous healthcare environment and a concern about reliance on federal Medicare reimbursements, the anonymous sources told Reuters.
The sources noted that potential buyers could include private equity firms Apollo Global Management and Blackstone Group LP, as well as health insurance giant and fellow Louisville-based company Humana, but stressed that the sale plans are not yet set in stone.
Kindred spokeswoman Susan Moss said in a statement to reporters that the company “does not comment on rumor or speculation,” adding that it is working with advisors on its previously announced plan to exist the skilled nursing sector and divest its facilities.
Kindred announced last November that it would be leaving the skilled nursing business due to “dynamic changes” in the healthcare industry. The company teamed up with post-acute care provider Genesis HealthCare in February as part of a “groundbreaking” clinical partnership to improve care transitions and quality.