Premier unit Contigo Health to buy assets including 900K healthcare providers for $177.5M

Sep. 06, 2022 5:46 PM ETPINCBy: Anuron Mitra, SA News Editor

word m and a made with wood building blocks, stock image

Maksim Labkouski

  • Premier (PINC) on Tuesday said its unit Contigo Health will acquire key assets from TRPN Direct Pay and Devon Health for $177.5M in cash.
  • Contigo Health is a provider of services that optimize employee health benefits.
  • The acquired assets will include contracts with more than 900K providers across 4.1M U.S. locations, including hospitals, physicians, laboratories and home health services, among others, PINC said in a statement.
  • As per the deal, Contigo Health will also license TRPN's proprietary cost containment technology.
  • PINC expects the deal to be accretive to its adj. EPS by $0.01 to $0.02 in fiscal 2023.
  • PINC expects the deal to result in $40M to $60M in incremental annual net revenue.
  • The deal is expected to close in Q2 of fiscal 2023.
  • Class A shares of PINC earlier ended slightly higher at $35.27.

Recommended For You

Comments

To ensure this doesn’t happen in the future, please enable Javascript and cookies in your browser.
Is this happening to you frequently? Please report it on our feedback forum.
If you have an ad-blocker enabled you may be blocked from proceeding. Please disable your ad-blocker and refresh.