McKesson Corporation, a healthcare services company, has signed a definitive agreement to sell Asia Pacific business to Australia-based private health services and insurance group Medibank.
McKesson Asia Pacific (MAP) is a provider of phone and Web-based healthcare services, including telephone triage, health and wellness advice, chronic disease management and mental health services in Australia and New Zealand.
Founded in 1995 and acquired by McKesson in 2000, MAP has grown to be a core part of the healthcare systems of those two countries. Medibank is an existing MAP customer and offers many complementary services to its customers.
McKesson said that the divestiture is the result of an unsolicited offer from Medibank, and McKesson is expected to continue to have a presence in the Asia Pacific region through distribution of the company’s other product offerings and its sourcing operations.
Reportedly, the transaction is a share purchase. At the close, Medibank will own 100% of the shares in McKesson Asia Pacific. As per the arrangement, McKesson Asia Pacific is expected to become a wholly-owned subsidiary of Health Services Australia, which is a subsidiary of Medibank.
Emad Rizk, president of McKesson Health Solutions, said: “This was a unique opportunity to join two highly successful partners. McKesson Asia Pacific has delivered telephonic health management programs in Australia and New Zealand serving both the national and state governments of those countries over the past five years.
“We have also served Medibank’s members with chronic care services and are excited about Medibank’s potential to leverage the MAP business to provide even more of their members with access to high quality, convenient healthcare services.”
The acquisition is expected to close in the second calendar quarter of 2010, subject to customary conditions, including regulatory review in Australia.