Enhabit (NYSE:EHAB), a national provider of home health and hospice services, announced Monday that it has entered into a definitive agreement to be acquired by Kinderhook Industries.
The all-cash transaction, valued at a total enterprise value of approximately $1.1 billion, marks the end of Enhabit’s tenure as a public company following its 2022 spin-off from Encompass Health.
Under the terms of the merger, Enhabit stockholders will receive $13.80 per share in cash.
This price represents a 24.4% premium over the company's closing price on February 20, 2026, and a significant 33.8% premium over its 60-day volume-weighted average price.
The deal arrives after a comprehensive strategic review initiated by the Board to address valuation gaps and navigate a challenging regulatory landscape characterized by fluctuating Medicare reimbursement rates.
The acquisition has received unanimous approval from Enhabit’s Board of Directors and is expected to close in the second quarter of 2026.