UnitedHealth Group Affiliate Atrius Health Plans to Acquire Boston-Area Primary Care Group
A UnitedHealth Group affiliate plans to acquire a Boston-area primary care group called Acton Medical Associates, Bloomberg reported Thursday (Oct. 9), citing a notice posted by the Massachusetts Health Policy Commission.
Atrius Health, an affiliate of UnitedHealth Group’s Optum division, has agreed to acquire the 45-doctor medical practice, according to the report.
“As a result of the proposed Material Change, Acton’s patients will have continued access to their providers, while gaining access to the resources that Atrius offers,” Atrius Health said in the notice posted by the regulator. “Atrius’ expertise in value-based care, and the administrative support that Atrius MSO provides, will result in efficiencies that are expected to assure continued patient access to quality care.”
The Bloomberg report said the acquisition signals that Optum will continue to expand even though UnitedHealth Group executives said during a July earnings call that the division’s earnings were below expectations.
Optum had been the company’s fastest growing source of profit until then, and has acquired several practices over the last decade, per the report.
In a July 29 earnings release, Dr. Patrick Conway, CEO at Optum, said: “We know Optum’s performance has not met expectations. We are refocused on fundamental execution to ensure we meet our potential to help make the health system work better for everyone.”
Optum focuses on improving overall health system performance, in part by using information, analytics and technology to yield clinical insights, according to the release.
The division attributed a 7% year-over-year decrease in revenue in the second quarter to “legacy customer contract revisions” and “effects related to the Medicare Advantage funding cuts.”
It was reported in August that a Justice Department criminal investigation of UnitedHealth Group that was once thought to be a probe into possible Medicare fraud was also looking into business practices at the company’s pharmacy benefits manager, Optum Rx, and the ways the company reimburses its own doctors.
Asked by Bloomberg at the time about the report of a wider probe, UnitedHealth pointed to a July filing with the Securities and Exchange Commission (SEC) in which the company said it has “full confidence in its practices.
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