WASHINGTON (dpa-AFX) - Humana Inc. (HUM) announced that it has completed its acquisition of Metropolitan Health Networks Inc. (MDF) in a transaction valued at approximately $850 million plus transaction costs.
Headquartered in Boca Raton, Florida, Metropolitan is a Medical Services Organization that provides and coordinates medical care for approximately 87,500 Medicare Advantage, Medicaid, and other beneficiaries, primarily in Florida utilizing a primary care-centric business model.
In connection with the closing of this transaction, Metropolitan stockholders will receive $11.25 per share in cash from Humana for each Metropolitan share held. Humana said it will also repay all of Metropolitan's outstanding debt.
Humana has financed the transaction primarily through the recent issuance of senior notes. The company continues to anticipate the transaction to be modestly accretive to its earnings for the year ending December 31, 2013.
Humana said it expects to update its earnings guidance for fiscal 2013 to reflect the closing of the Metropolitan acquisition in conjunction with its fourth quarter 2012 earnings release on February 4, 2013.
In Early-November, Humana agreed to acquire Metropolitan Health Networks for $11.25 per share in cash in a deal valued at about $850 million plus transaction costs, including debt.
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