Medicare Advantage Fuels Vertical Consolidation

Medicare Advantage Fuels Vertical Consolidation

Gauging the Managed Care sector is a nuanced affair. On one hand, the M&A market, especially in the last few years, has been relatively subdued, at least in terms of the raw numbers. In 2022, investors announced 44 transactions in the Managed Care sector, a minor slowdown compared with the 48 deals announced in 2021. Like other sectors, the market was hit with some headwinds.  “Health insurance providers and HMOs have to deal with industry challenges like other providers,” said Bruce D. Platt, Partner at Akerman, a full-service national law firm. With a background in healthcare and medical technology, Mr. Platt helps insurers, providers and related companies navigate federal and state... Read More »
The Managed Care Earnings Round-Up

The Managed Care Earnings Round-Up

Some of the largest Managed Care providers in the world have announced their earnings for 2022, and the results are looking promising for the Managed Care space. Humana Inc., Centene Corporation and Cigna Corp. all achieved positive operating and financial results for 2022, with some even surpassing their expectations for the year. However, M&A within the Managed Care sector slowed in 2022, with just 43 transactions announced, a 10.4% decrease from 2021 when 48 deals were announced. This decline is the result of a shift in these company’s growth strategy as they focus on cleaning up their portfolios through divestments. Humana Inc. (NYSE:HUM) Humana reported strong operating and... Read More »
DENCAP Dental Plans Expands With Golden Dental Plans Acquisition

DENCAP Dental Plans Expands With Golden Dental Plans Acquisition

Detroit-based DENCAP Dental Plans announced its acquisition of Warren, Michigan-based Golden Dental Plans, a provider of managed care dental plans to southeast Michigan residents. With the addition of Golden Dental Plans, DENCAP grows its reach to 150 dental offices. Terms of the deal were not disclosed. DENCAP has been providing dental insurance to southeastern Michigan groups, individuals and families since 1984. DENCAP is also one of Michigan’s largest dental maintenance organizations. According to data captured in the LevinPro HC database, this transaction marks the fourth Managed Care transaction of 2023. There were 43 Managed Care deals reported in 2022. Read More »
DENCAP Dental Plans Expands With Golden Dental Plans Acquisition

Elevance Health Acquires Blue Cross and Blue Shield of Louisiana

Elevance Health has acquired Blue Cross and Blue Shield of Louisiana (BCBSLA), which will join Elevance Health’s affiliated Anthem Blue Cross Blue Shield family of brands. Terms of the deal were not disclosed. BCBSLA is the biggest provider of health insurance in Louisiana, serving more than 1.9 million members. Formerly Anthem, Inc., Elevance Health’s companies serve more than 119 million people through a portfolio of medical, digital, pharmacy, behavioral, clinical and complex care solutions. According to data captured in the LevinPro HC database, this transaction marks the third Managed Care transaction of 2023. There were 43 Managed Care deals reported in... Read More »
UnitedHealth Group Posts $4.9 Billion Profit in Q4:22 Earnings

UnitedHealth Group Posts $4.9 Billion Profit in Q4:22 Earnings

UnitedHealth Group (NYSE: UNH) announced its financial results for the fourth quarter ended December 31, 2022. The company offers products through two business platforms: UnitedHealthcare, which provides healthcare coverage and benefits services; and Optum, a pharmacy benefit manager and health care provider. UnitedHealth Group recorded double-digit percentage growth in revenue year over year across UnitedHealthcare and Optum, driven primarily by both lines of businesses expanding to provide more comprehensive care to a larger base of people across the U.S. The Minnetonka, Minnesota-based company reported: A 12.3% increase in net revenue from $73.7 billion in Q4:21 to $82.8 billion in... Read More »
The Managed Care Earnings Round-Up

Sentara Healthcare Acquires AvMed Health Plan

Sentara Healthcare, a Norfolk, Virginia-based nonprofit healthcare system, has acquired nonprofit health plan AvMed for an undisclosed price. AvMed is based in Miami with regional offices in Fort Lauderdale and Gainesville, Florida. It has more than 200,000 health plan members and nearly 500 employees. More than 35,000 health care providers are in its network. Sentara Healthcare operates more than 100 sites of care, including 12 hospitals, four medical groups and multiple imaging centers throughout Virginia and northeastern North Carolina. The company’s Sentara Health Plans division has more than 1.2 million members. According to data captured in the LevinPro HC database, this marks... Read More »