WebMD to add business-services outsourcing firm

WebMD Corp., Elmwood Park, N.J., agreed to acquire Advanced Business Fulfillment, St. Louis, which distributes checks and communicates to insurance beneficiaries the resolution of medical claims on behalf of insurers and third-party administrators. WebMD will pay $110 million at the deal's closing and up to $150 million more if the business achieves a certain milestone. The deal is expected to close early in the third quarter, subject to regulatory approvals. Advanced Business Fulfillment reported $63 million in revenue and $8 million in pre-tax income in 2002. The privately held company provides services to 300 payers. -- by John Morrissey