Home health mergers and acquisitions were down in the third quarter, but still showing continued interest in the market, according to Mertz Taggart’s Home-Based Care M&A Report.
 
There were six closed home health transactions in the quarter, including Ares Management’s investment in Elara Caring, notes Cory Mertz, managing partner at Mertz Taggart.
 
“The Elara closing tells you serious capital still sees home health as a place to build, especially for higher-acuity patients who need to be managed at home. Buyers will pay for scale and clinical capability, and they're willing to wait for the right asset,” Mertz said.  
Overall, home-based care had a slower quarter, with 11 closed transactions compared to 23 in the second quarter and 22 in Q3 of 2025.
 
“Buyers have gotten more careful, and that's not bad news for owners who run a clean shop,” Mertz said. “Compliance history, documentation and leadership depth are getting a harder look in diligence than they did a few years ago. With positive rate updates on the table for both home health and hospice next year, buyers have a clearer reimbursement picture to underwrite. Agencies that can show they're well run are still getting deals done.”