Reuters reports that health insurer WellPoint has agreed to purchase its rival, Amerigroup, for $4.46 billion in anticipation of the U.S. government’s Medicaid expansion. The combined firms will serve more than 4.5 million state-sponsored healthcare plan beneficiaries. “This is an opportunity to capitalize on the strengths of both companies to better serve our members,” said WellPoint CEO Angela Braly. The companies expect the deal to close in the first quarter of 2013.
WellPoint to buy Amerigroup for $4.5 billion in Medicaid play
Health insurer WellPoint will purchase rival Amerigroup in anticipation of a Medicaid expansion.
July 10, 2012