Health insurer Humana has signed an agreement to acquire California-based health-management organization (HMO) Arcadian Management Services for an undisclosed amount.
Founded in 1996, Arcadian Management Services has approximately 64,000 members in 15 US states.
Humana said its acquisition of Arcadian is not expected to materially impact its financial earnings guidance for the year ending 31 December 2011.
Humana senior vice president of senior products Thomas Liston said Arcadian offers Humana an opportunity to expand their Medicare footprint and grow their Medicare enrollment.
"Humana’s long history in Medicare and experience working with Medicare beneficiaries enable us to serve our Medicare members very well," Liston said.
The transaction is subject to both federal and state regulatory approvals and is expected to close in late 2011.
Terms of the agreement were not disclosed.