WellCare Health Plans To Buy Meridian Health Plan For $2.5 Billion

On May 29, 2018, WellCare Health Plans, Inc. announced it had entered into a definitive agreement to acquire Meridian Health Plan of Michigan, Inc., Meridian Health Plan of Illinois, Inc., and MeridianRx, a pharmacy benefit manager (PBM). The transaction is valued at $2.5 billion. It is expected to close by the end of 2018.

WellCare believes the acquisition will help diversify its Medicaid portfolio through the addition of Michigan and deepen its Medicaid business in Illinois. The acquisition also brings WellCare an integrated PBM platform.

Meridian is a privately held, for-profit managed care organization. Through its operating subsidiaries . . .