WellCare Health Plans, a Florida-based health care plan provider, has signed an agreement to acquire Medicaid membership and some provider contracts from Phoenix Health Plan (PHP), a subsidiary of Tenet Healthcare.
PHP provides health benefits to more than 50,000 Medicaid beneficiaries in Maricopa County.
"We are pleased to announce a second acquisition in the state of Arizona this year, Wellcare CEO Ken Burdick said. "This transaction will complement our pending acquisition of Care1st Health Plan Arizona and further strengthen our presence in the state. We look forward to partnering with the state and local providers to deliver high-quality, cost-effective health care solutions to help Arizona's Medicaid beneficiaries live better, healthier lives."
WellCare will work with PHP and Arizona Health Care Cost Containment System (AHCCCS) to ensure the transition to the new plan is easy for all members.
The acquisition is expected to close by the second quarter next year, pending regulatory approvals and standard closing conditions.
WellCare Health Plans is based in Tampa. It focuses solely on providing government-sponsored managed care services through plans such as Medicaid, Medicare Advantage and Medicare Prescription Drug Plans. WellCare serves approximately 3.8 million members nationwide.