MedPartners continued its acquisition spree last week with a deal to buy Fort Lauderdale, Fla.-based InPhyNet Medical Management in a $491 million stock swap.
MedPartners will combine InPhyNet's hospital-based business with its own Team Health division to create what it called the largest provider of full-time hospital-based physician services in terms of revenues.
Together, they have 273 hospital contracts and 40 correctional contracts, generating $500 million in revenues (See box).
Birmingham, Ala.-based MedPartners entered the hospital-based contracting business just 11 months ago when it acquired Team Health in a merger with Redlands, Calif.-based Pacific Physician Services.
In the past year, MedPartners has completed deals worth more than $2.8 billion with Pacific Physician Services, Cleveland-based Emergency Professional Services and Caremark International.
The acquisition further realizes MedPartners' goal of providing a broad spectrum of services in physician, pharmaceutical and specialty areas. Following the merger, its annual revenues will be about $5.2 billion, 57% from physician services.
The deal, expected to close around March, is subject to approval by InPhyNet stockholders.