TeamHealth has acquired IPC Healthcare in an all-cash transaction with an enterprise value of approximately $1.6 billion, or $80.25 per share, according to a release on the TeamHealth website. The boards of directors of both companies have approved the transaction.
TeamHealth, a physician staffing provider based in Knoxville, Tenn., is joining forces with North Hollywood, Calif.-based IPC, an acute hospitalist and post-acute provider group, to capitalize on trends towards value-based and post-acute care and services, according to the release. The two companies have 15,000 healthcare professionals nationwide.“This transaction ensures that we extend TeamHealth's competitive position," TeamHealth President and CEO Mike Snow said in the release. "We are confident that together we will create a more powerful platform from which to deliver significant value creation for our patients, physicians and other stakeholders.
"Through this combination, TeamHealth will be better positioned to capitalize on key trends as the U.S. healthcare industry moves toward value-based reimbursement with an increased focus on post-acute care and services. Together with IPC Healthcare, we will create an industry leader in the hospital-based and post-acute settings, with an expanded network of services and solutions."
IPC Healthcare Founder and CEO Adam Singe, MD, said in a statement that the agreement will advance IPC's "mission of delivering high-quality inpatient care efficiently and cost-effectively.
"Both TeamHealth and IPC Healthcare are physician centric organizations with strong track records of delivering superior solutions to our healthcare provider partners nationwide," he said. "We look forward to being a critical contributor to the future growth strategy and value creation for TeamHealth while creating new and exciting opportunities for our valued employees."