GRAND BLANC (WJRT) (11/02/2017) - McLaren Health Care announced a deal Thursday to acquire Indiana health insurer MDwise, a nonprofit HMO that serves more than 360,000 individuals and families.
McLaren Health Care
MDWise generates in excess of $1.5 billion in annual revenue.
The transaction, which is subject to state and federal regulatory review and other closing conditions, is expected to be complete by Dec. 31. The acquisition will push McLaren's total annual revenue to nearly $6 billion annually.
MDwise will become part of McLaren Health Care, which owns and operates 12 acute care hospitals and the McLaren Health Plan with more than 260,000 subscribers in Michigan.
Once the transaction is complete, MDwise and McLaren Health Plan will collectively serve more than 620,000 individuals, making it one of the region’s largest provider-sponsored health plans.
The deal is part of McLaren's strategy to expand the Grand Blanc-based health care giant into Ohio and Indiana. CEO Philip Incarnati said the deal will further cement McLaren's status in Mid-Michigan.
"It's further reinforcement of the brand," he said. "It extends beyond the state into other states and the Midwest and it adds to the strength of a significant employer in the county and our community."