The sale is estimated to be worth about Rs 35 crore
Medi Assist, the country’s biggest third-party administrator (TPA) for health insurance, is slated to acquire a 100 per cent stake in Mumbai-based Medvantage Insurance TPA, one of the country’s oldest TPAs dealing with prominent corporate clients such as Microsoft and Wells Fargo.
According to industry experts, the sale is estimated to be worth about Rs 35 crore. The company plans to fund this deal using cash from its balance sheet.
According to Medi Assist chief executive Satish Gidugu, the purchase would assist the country’s largest TPA to increase its market share on the corporate side of the company to 30 per cent from 27 per cent.
The merger would provide Medvantage consumers access to Medi Assist’s cashless hospital network, OPD services, and a host of upcoming solutions such as a navigator (for out-of-pocket cost calculation, financing, and so on).