LONDON, UK / ACCESSWIRE / June 29, 2018 / If you want access to our free research report on Molina Healthcare, Inc. (NYSE: MOH) (“Molina”), all you need to do is sign up now by clicking the following link www.active-investors.com/registration-sg/?symbol=MOH as the Company’s latest news hit the wire. On June 27, 2018, the Company announced the divestment of its wholly-owned subsidiary, Molina Medicaid Solutions (“MMS”) to DXC Technology Co. (NYSE: DXC). MMS is Molina’s Medicaid management information systems (MMIS) business. The deal is valued at approximately $220 million, subject to adjustments at the time of closing. Register today and get access to over 1,000 Free Research Reports by joining our site below:
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Active-Investors.com is focused on giving you timely information and the inside line on companies that matter to you. This morning, Molina Healthcare and DXC Technology most recent news is on our radar and our team decided to put out a fantastic report on the company that is now available for free below:
www.active-investors.com/registration-sg/?symbol=MOH
www.active-investors.com/registration-sg/?symbol=DXC
Management Comments
Sharing his views on the sale of MMS to DXC Technology, Joe Zubretsky, President and Chief Executive Officer (CEO) of Molina, said:
“The sale of Molina Medicaid Solutions will give us the flexibility to invest and refocus resources in our core health plan business. We are confident that DXC will be an excellent partner for Medicaid agencies, providers, and employees moving forward, and that this transaction represents an opportunity for MMS to grow and unlock value in its business.”
Mike Lawrie, Chairman, President, and CEO of DXC Technology, stated:
“Both MMS and DXC Technology have proven track records and a shared commitment to these important programs. Together, our deep experience and technology expertise can bring new benefits to state agencies and Medicaid recipients.”
Transaction Highlights
DXC Technology has offered to pay a purchase price of approximately $220 million to acquire MMS. The purchase price is subject to certain adjustments at the time of the closing of the deal. The transaction is expected to be completed in Q3 2018, subject to the receipt of regulatory approvals, the receipt of certain third-party consents, and other closing conditions. DXC Technology has clarified that the completion of the transaction is not subject to any financing conditions.
The deal will allow Molina to focus on its core business of healthcare and invest the proceeds from the sale for strategic acquisitions. On the other hand, DXC Technology will be able to strengthen its digital healthcare platform with the acquisition of MMS.
About Molina Medicaid Solutions (MMS)
MMS is a wholly-owned subsidiary of Molina, and helped state Medicaid agencies meet their goals by providing business processing and IT administrative services to manage their state’s Medicaid programs. MMS’ services include business processing, information technology development, and administrative services. The Company has contracts for providing MMIS in six states including Idaho, Louisiana, Maine, New Jersey, West Virginia, and the US Virgin Islands.
About DXC Technology Inc.
Tysons, Virginia-based DXC Technology was formed in April 2017 as a result of the merger between CSC and the Enterprise Services business of Hewlett Packard Enterprise. The Company is the world’s leading independent, end-to-end IT services Company that guides its clients in their digital transformation, multiply their capabilities, and help them harness the power of innovation to thrive on change. The Company caters to nearly 6,000 private and public-sector enterprises across 70 countries. Its Healthcare and Life Sciences division provides industry-leading software, next-gen offerings, and business process services to providers, payers, government health, and life sciences firms.
About Molina Healthcare, Inc.
Long Beach, California-based Molina is a FORTUNE 500 Company and a multi-state health care organization. It provides managed health care services under the Medicaid and Medicare programs and through the state insurance marketplaces. As on March 31, 2018, Molina catered to approximately 4.1 million members of its locally-operated health plans.
Stock Performance Snapshot
June 28, 2018 – At Thursday’s closing bell, Molina Healthcare’s stock slightly climbed 0.47%, ending the trading session at $98.52.
Volume traded for the day: 885.10 thousand shares.
Stock performance in the last month – up 12.18%; previous three-month period – up 21.36%; past twelve-month period – up 39.86%; and year-to-date – up 28.48%
After yesterday’s close, Molina Healthcare’s market cap was at $5.87 billion.
The stock is part of the Healthcare sector, categorized under the Health Care Plans industry. This sector was up 0.4% at the end of the session.
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