Anthem to acquire Medicare Advantage insurer HealthSun

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With the acquisition of HealthSun, Anthem stands to gain a 4.5-star rated MA insurer that serves 40,000 members in Florida's Miami-Dade and Broward counties.

Though Anthem failed in its bid to buy Cigna, it clearly hasn’t given up on making other acquisitions.

The company announced Wednesday that it has reached a deal to acquire Florida-based Medicare Advantage insurer HealthSun. Anthem will buy HealthSun from a consortium of investors led by Summit Partners, and the financial terms of the transaction were not disclosed.

Anthem said it expects the deal to close by the end of the year—pending regulatory approval—and anticipates that the deal will be "slightly accretive" to the company’s earnings in 2018.

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With the acquisition, Anthem stands to gain a 4.5-star rated MA insurer that serves 40,000 members in Miami-Dade and Broward counties. HealthSun members receive care through its network of 19 wholly owned primary care and specialty centers, in addition to unaffiliated medical centers chosen for their ability to deliver high-quality care.

“The acquisition of HealthSun, which offers a unique integrated care delivery model serving mainly dual-eligible (Medicare and Medicaid) members, fits well with our plans for continued growth in the Medicare Advantage and dual-eligible populations,” Anthem CEO Joseph Swedish said. “In addition, the HealthSun acquisition will further the industry-leading commitment of Anthem’s affiliated health plans in offering a wide variety of value-based care models that benefit our members through high-quality care and improved outcomes.”

With the acquisition, Anthem’s affiliated Medicare and Medicaid plans will serve more than 650,000 members in Florida, added Peter D. Haytaian, executive vice president of the company’s government business division.

Anthem’s deal with HealthSun comes on the heels of two other recent merger announcements from large insurers. UnitedHealth’s Optum unit confirmed in late August that it planned to buy the Advisory Board’s healthcare consulting and analytics business for $1.3 billion. And in an even bigger deal, Centene announced that it would buy New York-based Fidelis Care for $3.75 billion.