Healthcare consultancies Masspro, Waltham, Mass., and Quality Health Strategies, Easton, Md., have announced plans to merge, according to a news release. The transaction is expected to be completed in 30 days.
Masspro and Quality Health Strategies subsidiaries Delmarva Foundation for Medical Care and Delmarva Foundation of the District of Columbia are federally designated healthcare quality improvement organizations, or QIOs, serving Massachusetts, Maryland and Washington, D.C., respectively. Masspro, formerly a wholly owned subsidiary of the Massachusetts Medical Society, became an independent company in 2008 as a result of changes in federal conflicts-of-interest law.
The announced merger will create the largest QIO in the U.S., according to Masspro board Chairman Francis Moore. In 2008, Masspro generated some $21 million in revenue. Quality Health Strategies Delmarva subsidiaries are expected to generate roughly $60 million in revenue during fiscal 2009. The deal is not expected to result in layoffs from either company, noted Masspro President and CEO Laura Moore.