Industry Report: Home-Based Care Q1 2026 [Mertz Taggart]

Key Report Highlights

• Steady M&A Activity with Building Momentum
  Home-based care M&A remained stable in Q1 2026 with 22 closed transactions, alongside additional announced deals signaling a healthy pipeline and increasing deal momentum heading into the rest of the year.
• Private Equity Driving Deal Activity and Exits
  Sponsor-backed platforms continue to fuel transactions, with many assets held for 5–7+ years now coming to market, creating increased pressure for exits and driving buyer activity across the sector.
• Hospice Emerges as the Most Active and Attractive Subsector
  Hospice led all segments with 10 transactions in Q1, maintaining its position as the preferred target for both strategic and financial buyers due to strong demand and favorable market dynamics.
• Large Platform Deals Signal Renewed Confidence
  High-profile transactions—including the $1.1B acquisition of Enhabit (10.2x EBITDA) and strategic investments in platforms like Elara Caring—highlight renewed confidence in scaled home-based care platforms and long-term sector fundamentals.
• Home Care and Home Health Show Rebound and Consolidation Trends
  Home care (9 deals) and home health (6 deals) both demonstrated improving activity, driven by add-on acquisitions, geographic expansion, and specialization in high-acuity and pediatric care, signaling continued consolidation across fragmented segments.

Mertz Taggart is a boutique investment bank focused exclusively on M&A advisory services for healthcare services companies, with deep specialization across behavioral health, home health, hospice, and post-acute care. Founded in 2006, the firm provides strategic guidance, valuation expertise, and transaction execution to founder-owned businesses, private equity groups, and strategic healthcare providers.

Headquartered in Fort Myers, Florida, Mertz Taggart leverages its sector-focused research, proprietary market data, and extensive relationships with both financial sponsors and strategic acquirers to support clients through sell-side and select buy-side engagements. The firm typically advises companies generating $5 million to $75 million+ in revenue, with a strong track record representing growing, high-quality regional and national healthcare operators.

With decades of combined healthcare M&A experience, the senior team brings deep domain knowledge across reimbursement dynamics, regulatory trends, and operational models unique to behavioral health and home-based care. Mertz Taggart is recognized as a leading healthcare services M&A advisor, publishing widely followed quarterly transaction reports and industry insights. Securities transactions are conducted through M&A Securities Group, Inc., member FINRA and SIPC.

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