Enhabit to Go Private in $1.1B Acquisition by Kinderhook Industries

The deal is expected to close in the second quarter of 2026, at which point Enhabit’s common stock will be delisted from the New York Stock Exchange.

Kinderhook Industries has agreed to acquire Enhabit, a nationwide home health and hospice provider, in an all-cash transaction valued at approximately $1.1 billion. Enhabit stockholders will receive $13.80 per share, representing a 24.4% premium over the company’s last closing price. The deal is expected to close in the second quarter of 2026, at which point Enhabit’s common stock will be delisted from the New York Stock Exchange.

Enhabit operates 249 home health and 117 hospice locations across 34 states. The company became an independent publicly traded entity in 2022 after spinning off from Encompass Health. Shares of Enhabit, which gained about 19% in 2025, rose more than 22% in early trading following the announcement, giving the company a market value of roughly $561 million.

Jeffrey Bolton, chairman of Enhabit’s board, said, “Following a thorough evaluation and extensive deliberations in consultation with our independent advisors, we are pleased to reach this agreement with Kinderhook. The Board evaluated the current state of the business, its outlook and opportunities, and is confident this transaction maximizes value for our stockholders.”

The acquisition is part of an ongoing trend of private equity investments in home health and hospice. In 2025, 39 of the 1,029 PE-backed healthcare deals in the U.S. involved home health and hospice providers, according to the Private Equity Stakeholder Project. Middle-market and megafund PE firms have been active in this sector, acquiring hundreds of agencies over the past two decades.

Chris Michalik, managing director at Kinderhook, highlighted Enhabit’s “patient-centric culture and strong market position in home-based care,” noting that the firm’s investment strategy provides management with long-term capital and operational support.

Recent comparable deals include Waud Capital Partners’ acquisition of Senior Helpers and the creation of Altocare, as well as Aveanna Healthcare’s acquisition of Thrive Skilled Pediatric Care, which expanded the footprint of the largest private duty nursing provider in the U.S.

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