Home health giant AccentCare Inc. is forming a new post-acute care business that builds upon its existing partnership strategy with large health systems.
The Dallas-based AccentCare revealed Tuesday that it has been in talks with Fairview Health Services to take over the health system’s home health and hospice business in Minnesota. Under the newly announced deal, AccentCare will take over as majority owner of Fairview’s home health and hospice operations while becoming the health system’s preferred post-acute care provider.
Upon closing — expected to come on or around Nov. 2 — Fairview will retain a 20% stake in the newly formed post-acute care business, according to the companies. Financial terms of the deal were not disclosed.
LexisNexis data released late last year ranked AccentCare as the fifth-largest home health provider in the country, with an estimated national market share of about 1.63%. In addition to home health care, AccentCare also delivers non-medical home care, hospice, rehab and care management services.
The company — acquired by private-equity firm Advent International last year — cares for more than 145,000 patients annually. Its overall footprint consists of nearly 180 locations across 17 states.
Based in Minneapolis, the nonprofit Fairview Health Services is a large integrated health system with more than 12 hospitals and medical centers, plus dozens of primary care clinics and pharmacy locations. Fairview, which merged with HealthEast in 2017, has posted revenues between $5 billion and $6 billion over the past few years.
Generally, AccentCare’s deal with Fairview will resemble its many other health system arrangements, which include relationships with UCLA Health, Asante, Baylor Scott & White and more. In total, AccentCare has more than 30 strategic partnerships with health systems, insurers, physician groups and other entities.
For AccentCare, the Fairview relationship adds a new state to its footprint. It comes with an incremental home health census of more than 2,500 patients and an approximate hospice census of 650.
On its end, Fairview leaders say the deal with AccentCare will help the health system to continue delivering quality home health and hospice services at a time when both areas are becoming increasingly specialized.
“Home health and hospice care are extremely specialized areas, both medically and operationally,” Jon Lundberg, president of Fairview Senior Services, said in a press release announcing the news. “We pride ourselves on our commitment to effective and efficient operations across the health care ecosystem, driving a healthier future for all Minnesotans through access to the best care and services available to continuously improve outcomes.”
Lundberg also serves as president and CEO of Ebenezer Senior Living, which is part of Fairview Health Services.
This is a developing story. Please check back later for additional updates.