Humana, Other Potential Buyers Circle Cano Health

health


Humana has a right of first refusal on any Cano sale, part of an agreement that was originally struck in 2019.



Photo:

Luke Sharrett/Bloomberg News

Humana Inc.


HUM 0.94%

and other possible buyers are circling

Cano Health Inc.,


CANO 31.77%

according to people familiar with the situation, as healthcare heavyweights scramble to snap up primary-care providers.

The talks are serious and a deal to purchase Cano could be struck in the next several weeks, assuming the negotiations don’t fall apart, some of the people said. Cano shares, which had been down nearly 7%, turned positive and were up 42% after The Wall Street Journal reported on the talks, giving the company a market value of nearly $5 billion.

Miami-based Cano operates primary-care centers in California, Florida, Nevada, New Mexico, Texas, Illinois, New York, New Jersey and Puerto Rico, according to documentation from the company. It mainly serves Medicare Advantage members, a private-sector alternative to Medicare for seniors.

It couldn’t be learned who else is in the mix, but Cano could be Humana’s to lose as the health insurer has a right of first refusal on any sale, part of an agreement that was originally struck in 2019.

Write to Laura Cooper at laura.cooper@wsj.com and Dana Cimilluca at dana.cimilluca@wsj.com

Copyright ©2022 Dow Jones & Company, Inc. All Rights Reserved. 87990cbe856818d5eddac44c7b1cdeb8



Source link

Leave a Reply

Your email address will not be published.