Molina Healthcare To Acquire Cigna’s Texas Medicaid Contracts For $60 Million

Molina Healthcare, Inc. and Cigna Corporation announced that they have entered into a definitive agreement in which Molina will acquire Cigna’s Texas Medicaid and Medicare-Medicaid Plan (MMP) contracts and certain operating assets. The purchase price for the transaction is approximately $60 million and Molina intends to fund the purchase with cash on hand. The deal is expected to close in the second half of 2021.

As of December 31, 2020, Cigna’s Texas Medicaid and MMP business served approximately 48,000 Medicaid members in the STAR+PLUS program in the Hidalgo, Tarrant, and Northeast service areas. It served . . .