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Total Health Care-Priority Health Merger Complete

Analysis  |  By Jack O'Brien  
   January 06, 2020

The two Michigan-based healthcare organizations received final regulatory in late November.

Total Health Care and Priority Health announced the completion of their merger Monday afternoon. 

The two Michigan-based healthcare organizations first announced plans to merge in late August and received final regulatory in late November.

Prior to receiving approval from state regulators, Total Health Care members approved the merger earlier this fall.

“We are grateful for all the support and excited to move forward together with Priority Health as we continue to support vulnerable populations throughout southeast Michigan," Randy Narowitz, CEO of Total Health Care, said in a statement.

Related: Total Health Care-Priority Health Merger Approved by Michigan Regulators

“I can think of no better way to start the new decade than by officially welcoming Total Health Care to the Priority Health family,” Joan Budden, CEO of Priority Health, said in a statement.

Related: Why Some See Healthcare's Vertical Mergers as Good and Necessary

Priority Health and Total Health Care both feature sizable imprints on the Wolverine State, with Priority serving more than 1 million members while Total Health Care operates more than 2,500 health care centers in five counties surrounding the Detroit metropolitan area.  

As part of the merger, the two Michigan-based healthcare organizations will also be establishing a $25 million foundation to improve health outcomes in Detroit.

Related: Megamergers Take Center Stage in M&A Activity

The completion of the Total Health Care-Priority merger came about a month after Blue Cross Blue Shield of Michigan (BCBSM) announced the establishment of shared financial risk contracts with seven Michigan provider organizations.

The Blueprint contracts cover the southeastern Michigan market due to high membership density but BCBSM plans to expand its payment arrangements to all provider organizations in the coming years.

Jack O'Brien is the Content Team Lead and Finance Editor at HealthLeaders, an HCPro brand.


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