Deal Update: Molina Healthcare Amends Terms for Medicare Business Acquisition
Molina Healthcare, Inc. has announced that it has amended its purchase agreement for the acquisition of Bright HealthCare’s California Medicare business. The purchase price for the transaction was previously announced to be $510 million but has been reduced to approximately $425 million, according to a December 18 press release from Molina Healthcare. The transaction was originally announced in June 2023. Bright HealthCare is an American health insurance company based in Minneapolis, Minnesota. The business being sold expects a 2023 premium revenue of $1.8 billion, according to the Molina press release. Molina Healthcare, a Fortune 500 company, provides managed healthcare services under... Read More »
Q2:23 Thematic Earnings Roundup
This earnings season has provided us with insights into how various publicly traded healthcare companies are navigating the current landscape. Let’s delve into the trends and outcomes that defined the second quarter of 2023. The Home Health & Hospice Market: The Erosion of Medicare Fee-For-Service The Home Health & Hospice (HH&H) market has been volatile of late, with companies like Amedisys Inc. (NASDAQ: AMED) reporting a significant shortfall in earnings and a decline in revenue compared to the same period last year. Amedisys reported a financial loss in the second quarter of $80.3 million, after reporting a profit in the same 2022 period. A significant portion of this... Read More »
Molina Healthcare Expands in Texas
The Managed Care-giant Molina Health, Inc. (NYSE: MOH) has announced a deal with Cigna (NYSE: CI). Molina is purchasing Cigna’s Texas Medicaid and Medicare-Medicaid Plans (MMP) for $60 million. As of December 31, 2020, Cigna’s Texas MMP business served approximately 48,000 Medicaid members in the STAR+PLUS program in the Hidalgo, Tarrant, and Northeast service areas, and approximately 2,000 MMP members in the Hidalgo service area. In 2020, the business generated a premium revenue of approximately $1.0 billion. This transaction is a huge boost into the Texas Medicaid and Medicare market, another step in Molina’s path for growth. Throughout 2020, the company announced a string of... Read More »
Molina Healthcare Acquires Affinity Health Plan
It has been an eventful year for Molina Healthcare (NYSE: MOH). With two acquisitions already on the books for 2020, the company has announced a third. Last week, Molina Healthcare purchased New York-based Affinity Health Plan for $380 million in cash, net of expected tax benefits. Affinity is a Medicaid managed care organization serving members in New York City, Westchester, Orange, Nassau, Suffolk and Rockland counties in New York. The organization currently has 284,000 members and premium revenues of $1.3 billion. The acquisition expands Molina’s market in New York and is immediately accretive to adjusted earnings per share. Molina Healthcare last announced a deal in July for... Read More »Schedule a demo
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