Ingenix Sells Property/Casualty Medical Review Business to Mitchell (Owned by Private Equity Firm Aurora Capital)
Posted Oct 24 2010 9:45pm
We have been reading about acquisitions and now it appears Ingenix (a wholly owned subsidiary of United Healthcare) is selling one arm of their software/analysis resources to a company that has business in the same area. This business would be related to settling medical claims as a result of auto accidents and workman’s compensation. The two companies will continue to collaborate and work on a repricing solution with workers compensation.
From the website:
“Mitchell International is a privately-held company, ownedprimarily by the Aurora Capital Group. Aurora Capital is a Los Angeles-based investment firm formed in 1991 that acquires and builds companies in partnership with operating management. The firm currently manages approximately $2 billion in capital and is committed to investing in companies with unique, defensible market positions. Aurora is dedicated to generating long-term value principally through investing the time and resources necessary to enhance the fundamentals of each of its businesses. “
As information the algorithmic processes have been questioned and challenged here to claiming short payments with Ingenix with Safeco. This sounds like many of the law suits in court for the short pay on the out of network healthcare claims in theory.
It appears they are selling their algorithms and services to a like company and perhaps focusing more on the healthcare and insurance side rather than working with claims as a result of auto accidents and workman’s comp. BD
SAN DIEGO—Mitchell International Inc. on Wednesday said it has agreed to purchase Eden Prairie, Minn.-based Ingenix Inc.’s property/casualty medical bill review business.
Terms of the deal were not disclosed, but the companies said they will collaborate on future projects.
“Today’s announcement is good news for Mitchell, Ingenix and our respective customers,” Alex Sun, president and CEO of Mitchell, said in a statement. “This purchase further exemplifies our commitment to key, strategic relationships and investments that enable us to develop and deliver the industry’s leading technology solutions to the P/C market.”