Team Health Holdings To Acquire IPC Healthcare In $1.6 Bln Deal

(RTTNews) - Team Health Holdings, Inc. (TMH) Tuesday announced a definitive agreement to acquire national acute hospitalist and post-acute provider organization IPC Healthcare Inc. (IPCM) in cash transaction at an enterprise value of around $1.6 billion or $80.25 per share. The acquisition will be accretive to TeamHealth's earnings.

The boards of directors of both companies have approved the transaction. The combination is expected to create physician services organization spanning multiple specialties.

The deal is expected to close during the fourth quarter of 2015.

TeamHealth President and Chief Executive Officer, Mike Snow said, "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 that will better support TeamHealth's affiliated clinicians and hospital partners and drive long-term shareholder value."

Citi and MTS Health Partners, L.P. are serving as financial advisor to TeamHealth. Credit Suisse is serving as lead financial advisor to IPC Healthcare and Evercore provided a fairness opinion.