US based health insurer UnitedHealth has successfully completed the first phase in the Brazil's Amil Participações acquisition program with the purchase of 60% outstanding shares from controlling shareholders and management.
Approval for the transaction has been issued by the Brazilian Healthcare Regulatory Agency (ANS) and is scheduled to be complete in the first half of 2013.
Under the terms of the agreement signed recently, 90% of the 359 million outstanding common shares of Amil Participações will be acquired by UnitedHealth for approximately $4.9bn in cash.
Amil's chairman and chief executive officer Edson Bueno will join UnitedHealth Group's Board of Directors following a tender offer for public shareholders in first quarter 2013 by the UnitedHealth Group to purchase the remaining 30% of Amil shares.
Amil owns a network of 22 hospitals and nearly 50 clinics as well as care network of 44,000 doctors, 3,300 hospitals, nearly 11,000 outpatient clinics and 12,000 ancillary service facilities in the country.
