Humana to sell majority stake in hospice business to CD&R for $2.8 billion

Signage for Humana Inc. is pictured at a health facility in Queens, New York City, U.S., November 30, 2021. REUTERS/Andrew Kelly/File Photosaid on Thursday it would sell a 60% interest in its hospice business, Kindred at Home, for $2.8 billion to private investment firm Clayton, Dubilier & Rice, sending its shares up nearly 2% before the bell.

The U.S. health insurer took full ownership of Kindred at Home last year after acquiring the remaining 60% stake it did not own from TPG Capital for $5.7 billion to expand its patient care business. Humana said it intends to use proceeds from the transaction for repayment of debt and share buybacks.The company does not anticipate a material impact to 2022 earnings from this transaction, which is expected to close in the third quarter of 2022.Once the deal closes, the hospice and personal care divisions will be restructured into a standalone operation with David Causby, the current president and CEO of these segments, leading the business.

Goldman Sachs & Co. LLC and Barclays are acting as financial advisers to Humana, while Deutsche Bank Securities Inc and UBS Investment Bank are acting as financial advisers to CD&R.Reporting by Mrinalika Roy in Bengaluru; Editing by Vinay Dwivedi

Canada Canada Latest News, Canada Canada Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

When Life Inside A Hedge Fund Left Her Wanting, She Started A $2 Million Company In Rural KenyaThe company co-founded Rocio Perez Ochoa challenges thinking about the role women may play in the future of capitalism. Si no
Source: Forbes - 🏆 394. / 53 Read more »

These Are the Most Influential People in the DC-Area Weed Business - WashingtonianThe Promoter Caroline Phillips Founder, National Cannabis Festival and National Cannabis Policy Summit As a kid growing up in 16th Street Heights during the ’90s and early 2000s, she’d watch her neighbors’ residences being raided for pot offenses. As an adult, she has turned her hometown into a destination for weed stans, organizing the area’s
Source: washingtonian - 🏆 74. / 68 Read more »

Lululemon Aims to Double Sales to $12.5 Billion by 2026, Eyeing Even Bigger Men's BusinessThe company said three key drivers of its momentum in the coming years will be product innovation, customer experience and market expansion.
Source: nbcchicago - 🏆 545. / 51 Read more »