“Three years ago, every three to four deals we would sell out of five would be to a strategic buyer,” Moran said. “The majority of buyers we see now are private equity, and now I think it’s kind of turning back in a way where these larger strategic companies are trying to stay competitive and continuing to grow and scale their companies.”

McKnights Home Care
By Diana Eastabrook

A potential bidding war for tech-enabled home health provider Signify Health shows the continued attractiveness of the home health market, according to a mergers and acquisitions expert.

News surfaced over the weekend that Amazon, UnitedHealth and Option Care Health are joining CVS Health as possible suitors for Signify Health. Michael Moran, a partner with M&A Healthcare Advisors, told McKnight’s Home Care Daily Pulse that this activity could be a sign that there has been a shift again in the mergers and acquisitions market for home health.

“Three years ago, every three to four deals we would sell out of five would be to a strategic buyer,” Moran said. “The majority of buyers we see now are private equity, and now I think it’s kind of turning back in a way where these larger strategic companies are trying to stay competitive and continuing to grow and scale their companies.”