Health Care Service Corp., Chicago, which operates Blue Cross and Blue Shield plans in Illinois, New Mexico, Oklahoma and Texas, has reached an agreement to purchase all outstanding shares of publicly traded MEDecision, Wayne, Pa., a provider of disease-management and case-management systems and services, for $7 per share, a deal valued at about $121 million, according to a MEDecision news release.
Member-owned HCSC has been one of the largest clients of MEDecision, which will retain its name and will continue to market its products and services to other health plans, according to a MEDecision spokesperson. MEDecision stock closed at $1.71 a share yesterday and had a 52-week high of $5 in June 2007.
Directors of both companies approved the sale, and holders of a block of about 45% of MEDecision stock have entered into agreements with HCSC in favor of the deal, the release stated. The deal is expected to close by the end of the year and is subject to the approval of MEDecision shareholders and customary regulatory clearances.