Anthem announced Thursday that it plans to buy Boston-based Beacon Health Options, the country’s largest independently held behavioral health provider.
Beacon cares for 36 million people across all 50 states with 3 million enrolled in a comprehensive, risk-based model, according to Anthem. Acquiring Beacon aligns with Anthem’s broader strategic goal of expanding further into the provider space and integrating services more fully, the insurance giant said.
Should the deal be finalized, Anthem said the acquisition will allow it to offer integrated behavioral and physical health care services to customers nationwide. Beacon will be combined with Anthem’s existing behavioral health business, according to the announcement.
“As Anthem works to improve lives, simplify healthcare and serve as an innovative and valuable partner, we’re focusing on providing solutions that address the needs of the whole person,” Anthem CEO Gail Boudreaux said in a statement.
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“With an extensive track record in behavioral health, Beacon fits well into our strategy to better manage the needs of populations with chronic and complex conditions and deliver integrated whole health solutions,” she said.
Anthem expects the combination will allow both teams to more effectively harness data, grow clinical expertise and build a larger portfolio of “specialized products.” Beacon’s team will function as an integrated group under Anthem’s broader Diversified Business Group.
Russell Petrella, Ph.D., Beacon’s president and CEO, will join the leadership team at the Diversified Business Group alongside other senior leaders at Beacon. They will focus on innovating behavioral health services and expanding the group.
“We are excited to partner with Anthem to serve the behavioral health needs of more than 60 million Americans,” Petrella said in the announcement. “Our member-focused, integrated clinical care model helps individuals and families cope with their physical and behavioral health challenges.”
The financial terms of the deal were not announced. Anthem expects the acquisition to close by the end of the year.