Upon completion of acquiring Compassionate Care Hospice for $340 million, Amedisys will become the third-largest hospice provider in the country. Most hospice transactions are being valued at 16 to 19 times EBITDA, and 20 transactions have been PE-backed in 2018. Managing Director Mark Kulik gave insight to Home Health Care News as to why valuations are so high for hospice.
“Private equity is very bullish on the space, continuing to pursue it and make investments. We’re seeing hospices being acquired under all sorts of different circumstances.”
– Mark Kulk