Team Health Holdings, Inc. ("TeamHealth" or the "Company") (NYSE: TMH), a leading physician services organization, today announced it has successfully completed its acquisition of IPC Healthcare, Inc., a national acute hospitalist and post-acute provider organization.
The transaction, valued at approximately $1.6 billion, combines two physician-centric organizations to create a national physician services organization spanning multiple specialties in both hospitals and post-acute facilities. With 16,000 clinicians, the combined organization will be better positioned to effectively manage patients across the continuum of care, allowing TeamHealth to lower costs, increase quality and drive better patient experiences. Together, TeamHealth and IPC Healthcare will have a leadership position in the large and increasingly strategic post-acute setting, serving approximately 2,000 post-acute facilities across 28 states.
"The completion of the IPC Healthcare acquisition is a significant milestone for both TeamHealth and IPC Healthcare, and we are excited to move forward together as one organization positioned for continued success and value creation," said Michael D. Snow, president and CEO of TeamHealth. "As an industry leader in the hospital-based and post-acute settings, we now have an expanded network of services and solutions to support our affiliated clinicians, hospital partners and physician groups and influence high-quality and lower cost outcomes across the continuum of patient care. I am pleased to welcome our IPC Healthcare colleagues to the TeamHealth community and look forward to a seamless integration for the benefit of all TeamHealth stakeholders."
As a result of the completion of the transaction, IPC Healthcare's common stock will cease trading and will no longer be listed on the NASDAQ exchange.
Citi serves as financial advisor to TeamHealth and provides the committed financing in connection with the transaction. MTS Health Partners, L.P., also serves as financial advisor to TeamHealth. Simpson Thacher & Bartlett LLP serves as TeamHealth's legal counsel. Credit Suisse serves as lead financial advisor to IPC Healthcare, and Evercore provided a fairness opinion. Sidley Austin LLP serves as IPC Healthcare's legal counsel.