Humana Inc. has announced that it will pay $790 million to buy Addison, TX-based Concentra Inc., a provider of urgent care, physical therapy, and wellness services with 300 facilities in 42 states.
Louisville, KY-based Humana says nearly 3 million of its customers live near a Concentra center, which also operates more than 240 worksite medical clinics.
"Concentra brings solid experience across a number of fronts that fit well with our consumer-focused strategy and will allow both organizations to provide a wide array of services to individuals needing access to convenient and affordable high-quality healthcare," says Michael B. McCallister, Humana's chairman/CEO. "We are excited about the opportunity to acquire a strong stand-alone business that reinforces our core businesses while providing both revenue diversification and opportunities for strategic expansion longer term."
Concentra CEO James. M. Greenwood says the acquisition will provide an opportunity to expand services to patients and employers. "Concentra's focus on evidence-based, cost-effective medical care and a service-driven culture parallels that of Humana and ultimately results in tremendous opportunity across the combined enterprise," Greenwood says.
Concentra generates annual revenues of about $800 million. The transaction is subject to regulatory reviews but is expected to close in December.