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Management Newsletter Article | March 1, 1997

Magellan to Sell Charter Hospital Facilities and Restructure

By Market Intelligence Team

OPEN MINDS The Behavioral Health & Social Service Industry Analyst Industry News Magellan Health Services Inc. (Magellan) plans to sell its Charter Hospital facilities and realign its business structure. Besides giving Magellan a $400 million cash infusion, the restructuring will enable the company to expand provider services, increase care management and related information services, and its public sector segments, according to the company, which announced the action on January 30, 1997. Magellan said the restructuring includes the following strategies: Charter Behavioral Health Systems (CBHS) will operate as a joint venture, equally owned by Magellan and an affiliate of Crescent Real . . .

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