https://www.healthspring.com
HealthSpring is a managed care organization with a primary focus on Medicare, the federal government-sponsored health insurance program for United States citizens aged 65 and older, qualifying disabled persons and persons suffering from end-stage renal disease.
HealthSpring Enters Into Agreement To Acquire Health-Plan Provider Bravo-Health
HealthSpring (NYSE: HS), a provider of Medicare Advantage plans based in Tennessee, United States, announced that it has entered into a definitive agreement to acquire its the privately-held Bravo Health, also a provider of Medicare Advantage plans. The terms of the dealwas not disclosed. The deal, which is subject to regulatory approvals, is expected to close by year-end.
Medicare Advantage plans are semi-private health plans for which Medicare, the government administered health insurance program, pays a set rate for enrolled members while enrolled members also pay a monthly premium for services not covered by the Medicare system. In exchange for the extra benefits, members are limited to select service providers. In general, to be eligible for Medicare, one must be 65 years of age or older and have been have been legal residents of the United States for at least 5 years.
The acquisition will form the seventh largest Medicare Advantage provider in the country and will be the largest company to focus exclusively on Medicare Advantage.
HealthSpring’s share price has advanced 4.08% to trade at $19.14 since the news release.
Bravo Health, founded in 1996, is a provider of Medicare Advantage plans. The company has partnerships with a network of 30,000 physicians to provide its 360,000 members with services covered under its managed health care plans. The company’s Medicare Advantage plans are offered in Delaware, Maryland, New Jersey, Pennsylvania, Texas and Washington, D.C.
HealthSpring is one of the largest Medicare Advantage plan providers in the US with operations in Alabama, Florida, Georgia, Illinois, Mississippi, Tennessee and Texas. It also has a national stand-alone Medicare prescription drug plan.
