Plotted by close date where disclosed, otherwise announcement. Select any marker to jump to the deal entry.
Three patterns show up across UNITEDHEALTH's deal book — what the team buys, how it pays, and how it integrates. The patterns are the throughline; the deals below are the evidence.
11 acquisitions. Each entry carries the deal value, financing structure, target revenue, executive commentary, and the original SEC filing — the evidence behind the patterns above.
Change Healthcare was a Nashville-based health care technology company (NASDAQ: CHNG) providing software and data analytics, technology-enabled services, and revenue cycle management that connect clinical, administrative, and payment processes across payers and providers. It was combined with OptumInsight. $13.9 billion in cash (including payoff of Change's outstanding debt).
Together we will help streamline and inform the vital clinical, administrative and payment processes on which health care providers and payers depend to serve patients.Andrew Witty — President, UnitedHealth Group and CEO, Optum
Catamaran (NASDAQ: CTRX; TSX: CCT) was a leading pharmacy benefit management (PBM) services and technology company. It was combined with UnitedHealth's free-standing pharmacy care services business, OptumRx. $61.50 per share in cash (approximately $12.8 billion).
LHC Group (NASDAQ: LHCG) was a national patient-focused provider of high-quality in-home health care services, including home health, hospice, and community-based care. It was combined with Optum Health. $170.00 per share (approximately $5.4 billion).
LHC Group's sophisticated care coordination capabilities and its warm, human touch is so important for home care, and will greatly enhance the reach of Optum's value-based capabilities along the full continuum of care.Dr. Wyatt Decker — CEO, Optum Health
PacifiCare Health Systems (NYSE: PHS) provided health care and benefit services to approximately 9 million people, principally in the western United States, and operated the Secure Horizons Medicare brand. 1.10 UnitedHealth shares plus $21.50 cash per PacifiCare share (about 111.6 million shares and $2.2 billion cash).
This combination will bring the best of both companies forward in a manner that respects each one's unique history and contributions while advancing a national presence that can help address a highly fragmented health care system.Stephen J. Hemsley — President and COO, UnitedHealth Group
This merger will enhance our resources, strengthen our product offerings and build on the leadership of the PacifiCare brand on the Pacific coast and our Secure Horizons brand nationally.Howard Phanstiel — Chairman and CEO, PacifiCare
Oxford Health Plans was a Delaware-incorporated health benefits company concentrated in the tri-state New York/New Jersey/Connecticut region. It merged into a wholly owned subsidiary of UnitedHealth Group. 0.6357 UnitedHealth shares plus $16.17 cash per Oxford share (about 54.7 million shares and $1.4 billion cash).
Amil (BM&FBOVESPA: AMIL3) was Brazil's largest health care company, providing health and dental benefits, hospital and clinical services, and care management to more than 5 million people. Its 2012 annualized revenues were in the range of $5 billion. approximately $4.9 billion in cash for the outstanding shares (about $4.3 billion effective equity price after estimated $600 million Brazilian tax benefits).
Brazil has emerged as a consistently growing and evolving market for private sector health benefits and services. Its growing economy, emerging middle class and progressive policies toward managed care make it a high potential growth market.Stephen J. Hemsley — President and CEO, UnitedHealth Group
Combining Amil, the clear market leader serving an under-penetrated market of nearly 200 million people, with UnitedHealth Group's experiences and capabilities developed over the last three decades is the most compelling growth and value creation opportunity.Dr. Edson Bueno — Founder and CEO, Amil
Amedisys (NASDAQ: AMED) is a provider of home health, hospice, and high-acuity home care services across the United States. It was acquired by Optum after an extended regulatory review and divestiture process. $101.00 per share (approximately $3.3 billion).
Empresas Banmedica is a leading health care provider and insurer serving Chile, Colombia, and Peru, operating health plans, hospitals, and clinics in South America. CLP$2,150 per share; equity value about CLP$1.7 trillion (approximately US$2.8 billion).
Sierra Health Services was a Las Vegas-based managed care company serving the fast-growing US Southwest, with a strong senior/Medicare presence. $43.50 per share in cash; total equity value approximately $2.6 billion.
Surgical Care Affiliates (NASDAQ: SCAI) was a leading operator of ambulatory surgery centers (ASCs) and surgical hospitals in partnership with health systems, medical groups, and payers. It was combined with OptumCare. $57.00 per share (approximately $2.3 billion).
Joining with OptumCare will enable us to better support and empower independent physicians, helping them provide high-quality care for their patients while making health care more affordable.Andrew Hayek — Chairman and CEO, Surgical Care Affiliates
DaVita Medical Group was the physician-group and clinic business of DaVita Inc., operating medical groups, urgent care centers, and surgery centers across several US states. Optum acquired it to expand OptumCare's care-delivery footprint. approximately $4.9 billion announced; approximately $4.34 billion at closing.