Healthcare Dealmakers—Kaiser wraps Geisinger buy; Advocate Health sells off MobileHelp and more

Healthcare mergers and acquisitions are in no short supply as providers, health tech companies, retailers and other industry players look to expand their businesses and gain a competitive edge. Here’s a roundup of new deals that were revealed, closed, rumored or called off during the month of April.


Kaiser Permanente’s Risant Health announced the close of its deal to acquire Geisinger Health and kick off the formation of a multisystem, multiregional value-based care organization. The 10-hospital Pennsylvania system now sits underneath the subsidiary, though separate, Risant Health and will benefit from a minimum $2 billion of investments from its new parent company. Kaiser said it still hopes to add “four to five” additional regional health systems to Risant over the next five years.

Novant Health continues to spar with federal regulators over its deal to acquire two Community Health Systems hospitals in North Carolina for $320 million. Alongside arguments filed by both sides into the court system, the state’s treasurer also filed an amicus brief in opposition to the deal, which he warned would eliminate a primary market competitor and allow Novant to demand higher reimbursement from payers.

Saltzer Health, an Intermountain Health-owned multispecialty group facing closure, was able to keep some of its services ongoing thanks to two deals with Saint Alphonsus Health System and Intermountain Medical Imaging of Idaho. The former is picking up an ambulatory surgery center and two urgent care centers, while the latter purchased an imaging center. Terms were not disclosed.

Community Health Systems announced a definitive agreement to sell a 351-bed hospital and its related businesses to Hamilton Health Care System. The hospital is located in Cleveland, Tennessee. The deal is expected to close in the third quarter pending regulatory approvals and will bring in $160 million in cash.

UnitedHealth Group’s Optum’s plan to purchase the struggling Steward Healthcare’s physician group faced plenty of naysayers. As Massachusetts state healthcare regulators weigh the deal, all 11 of the state’s federal legislators warned that the acquisition could further Optum’s broad market control with little reassurance that the purchase funds will be used to preserve local care.

The University of Kentucky and its UK HealthCare have signed off on a proposed plan to acquire St. Claire HealthCare, which consists of a 139-bed hospital and other sites.

Providence sold off portions of a lab business operated by its California medical groups to Labcorp for an undisclosed sum.

BayState Health also completed the sale of its outreach lab business and other operating assets including lab service centers to Labcorp.

Queen’s Health System has purchased the struggling Wahiawa General Hospital and is “committed” to reopening its recently closed emergency department this summer.

Queen’s Health System also signed a letter of intent to acquire an 88-bed psychiatric hospital in Hawaii from Sutter Health.


CVS Health acquired New York City-based Medicare Advantage broker Hella Health for an undisclosed sum. Hella Health’s CEO said in a blog post announcing the pickup that his company’s technology will help CVS offer a broad range of insurance offerings directly to seniors shopping for a plan.

Humana and Cigna’s discarded merger could still be in the cards, a Jefferies analyst wrote this month in a note. Whereas companies had called off the deal when they couldn’t find common ground on a price, a dip in Humana’s stock and a rise in Cigna’s could help bridge the gap.

Elevance Health closed the sale of its life, disability, accidental death and dismemberment, absence management and paid family leave businesses to The Standard (StanCorp Financial Group). Terms of the deal were not disclosed, though the companies noted a 10-year distribution partnership that will make the offerings available to Elevance’s customers.


Advocate Health has sold off MobileHelp, a personal emergency response system and remote patient monitoring business, to aging health technology company Medical Guardian. Advocate Aurora Enterprises—part of Advocate Aurora Health, which itself is now part of the now-merged Advocate Health system—had acquired the technology company just two years prior but in an April regulatory filing said that the business was no longer a strategic fit. Neither the filing nor a May 1 announcement from Medical Guardian detailed a price, though Advocate noted a $150 million asset impairment write-down related to an expected loss from the sale.

DrFirst, a medication management platform, closed a deal to acquire Myndshft Technologies, an AI-enabled benefits and prior authorization verification platform. The former said its deal will allow customers to check for specialty medication benefits including infusions and in-office injectables. Terms of the deal were not disclosed.

Avant Technologies acquired Wired-4-Health, a healthcare technology and data integration services firm the AI company said will help support its customers’ transaction processing, health outcome analytics and compliance adherence. Terms were not disclosed.

AngelEye Health, a patient engagement technology company targeting the families of neonatal and pediatric patients, has acquired NICU2Home, a care coordination technology company. AngelEye said the deal will help it optimize discharge coordination, improve communication and further support NICU care for providers and families. Terms were not disclosed.

Medicus IT, a healthcare professional services and information technology firm, acquired BlueNovo for an undisclosed sum. The latter company is a consulting group that specializes in community health centers’ IT.


Prime Healthcare, a 44-hospital for-profit, purchased back the real estate of five hospitals it had been leasing from Medical Properties Trust for $350 million. The deal included $250 million in cash and a $100 million interest-bearing mortgage note due to the real estate firm in nine months. It brought a roughly $50 million gain to Medical Properties Trust.

Medical Properties Trust shortly after announced another deal to sell the majority interests in five Utah hospitals to an unspecified, “newly formed joint venture.” The facilities are currently leased to an affiliate of CommonSpirit Health. The real estate firm said its deal brings about $1.1 billion of total cash proceeds and that it retains a 25% interest in the new joint venture.