WellPoint Finalizes Acquisition of Amerigroup
announced it had completed its $4.9 billion acquisition of Amerigroup, a managed care organization based in Virginia Beach, Va.
Amerigroup coordinates care for 2.7 million customers in 12 states who are enrolled in Medicaid or similar state programs. Acquiring the company more than doubles WellPoint’s state sponsored beneficiaries to 4.5 million. WellPoint has about 36 million members in total.
Indianapolis-based WellPoint, one of the largest private insurance companies, initially announced the agreement in July, saying it would pay $92 per share for all of Amerigroup's outstanding stock.
"The acquisition of Amerigroup expands our scale and further diversifies our business mix by deepening our investment in the high-growth Medicaid marketplace," WellPoint CFO Wayne DeVeydt said in a July news release. "It also increases our flexibility to serve customers across the economic spectrum."
More Articles on Amerigroup:HHS, CMS Give Final Approval for Kansas Medicaid Overhaul
WellPoint to Reorganize Into Four Business Units
WellCare Health Plans Buys Medicare Advantage HMO
© Copyright ASC COMMUNICATIONS 2015. Interested in LINKING to or REPRINTING this content? View our policies by clicking here.
To receive the latest hospital and health system business and legal news and analysis from Becker's Hospital Review, sign-up for the free Becker's Hospital Review E-weekly by clicking here.
New From Becker's Hospital CFO