Priority Health Expands Medicaid Network in Michigan
Priority Health, the second-largest health insurer in Michigan, announced it will acquire the state’s oldest health plan, Total Health Care. The target company was founded in 1973 as a membership-owned, not-for-profit with 96,000 members – 53,000 Medicaid HMO and 43,000 individual commercial members through two companies, Total Health Care Inc. and Total Health Care USA Inc. The group also operates more than 2,500 healthcare centers in five counties surrounding the Detroit metropolitan area. This acquisition will give Priority a huge boost to its already 830,000 covered lives in its Medicare, Medicaid, commercial and employer group products. Priority also wanted a larger... Read More »
Managed Care Company GoHealth Acquired by Centerbridge Partners
Medicare Advantage programs and ancillaries are bringing in big bucks and new buyers. On August 19, Centerbridge Partners, L.P. announced its acquisition of GoHealth, LLC for a reported $1.4 billion from Norwest Equity Partners, the second-largest managed care deal in 2019, so far. The company is a leading provider of Medical Advantage products in the direct-to-consumer channel. Its platform combines technology, data science, and proprietary algorithms to match consumers with the best healthcare policy and carriers in the Medicare, Individual & Family and Small Group markets. Centerbridge and GoHealth broke off negotiations earlier in August over price, according to reports in... Read More »
Tufts Health and Harvard Pilgrim Plan to Merge
The Boston area has seen a lot of hospital merger and acquisition activity in recent years, some of it successful, some not. Now two not-for-profit health plans are merging, chasing the same goal of scaling up and reducing costs through streamlining administrative processes. Tufts Health Plan and Harvard Pilgrim Health Care, both based in the Boston metropolitan area, announced their merger on August 14. The new organization, which will have a new name, will be one of the largest not-for-profit health services organizations in the Northeast, serving nearly 2.4 million members in Connecticut, Maine, Massachusetts, New Hampshire and Rhode Island. Tufts Health Plan offers managed care... Read More »
DaVita and Optum Make It over the Finish Line
It’s been a long road for DaVita Inc. (NYSE: DVA) and Optum (NYSE: UNH), but the deal is finally done. On June 19, 2019, the Federal Trade Commission approved Optum’s acquisition of DaVita Medical Group, a $4.9 billion deal when it was announced on December 6, 2017. A year later, the final price was renegotiated down to $4.34 billion. At the time of the initial announcement, Optum agreed to pay cash for the medical group and its network of nearly 300 medical clinics, 35 urgent care centers and six outpatient surgery centers. It operated and managed physician networks in California, Colorado, Florida, Nevada, New Mexico, Pennsylvania and Washington and served approximately 1.7... Read More »
Anthem Adds Beacon Health Options to its Behavioral Offerings
Even without a price disclosed, this is one of the biggest deals we’ll probably see in the Behavioral Health Care sector this year. Bain Capital Private Equity and Diamond Castle Holdings are selling Beacon Health Options, the largest independently held behavioral health organization in the country. The buyer is managed care giant Anthem, Inc. (NYSE: ANTM). Beacon currently serves more than 36 million individuals across all 50 states, includign nearly 3 million individuals under comprehensive risk-based behavioral programs. Its service lines incldue clinical mental health and substance use disorder management, a comprehensive employee assistance program, work/life support, specialty... Read More »Schedule a demo
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