Add-on Acquisition • Healthcare Services

Magellan Health Acquires CDMI

On April 1, 2014, Magellan Health acquired healthcare services company CDMI for 205M USD

Acquisition Context
  • This is Magellan Health’s 3rd transaction in the Healthcare Services sector.
  • This is Magellan Health’s largest (disclosed) transaction.
  • This is Magellan Health’s 4th transaction in the United States.
  • This is Magellan Health’s 1st transaction in Rhode Island.

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M&A Deal Summary

Date April 1, 2014
Target CDMI
Sector Healthcare Services
Buyer(s) Magellan Health
Deal Type Add-on Acquisition
Deal Value 205M USD

Target Company

CDMI

Newport, Rhode Island, United States
CDMI, LLC, a privately-held company that provides a range of clinical consulting programs and negotiates and administers drug rebates for managed care organizations (MCO) and other customers.
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Buyer Overview 1

Buyer

Magellan Health

Phoenix, Arizona, United States

Category Company
Founded 1969
Sector Healthcare Services
Revenue 7.2B USD (2019)
DESCRIPTION
Entrance to Magellan's office in Columbia, Maryland.
Entrance to Magellan's office in Columbia, Maryland.

Magellan Health, Inc. is a provider of managed behavioral healthcare services, radiology benefit management services, and specialty pharmaceutical management services. Magellan Health was formed in 1969 and is based in Scottsdale, Arizona.


Deal Context for Buyer #
Overall 4 of 10
Sector: Healthcare Services 3 of 9
Type: Add-on Acquisition 3 of 9
State: Rhode Island 1 of 1
Country: United States 4 of 10
Year: 2014 1 of 1
Size (of disclosed) 1 of 5
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2013-10-01 Partners Rx Management

Scottsdale, Arkansas, United States

Partners Rx®, a privately held, full-service commercial pharmacy benefits management company (PBM) with a strong focus on health plans and self-funded employers, sold primarily through third party administrators (TPAs), consultants and brokers.

Buy -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2015-03-18 4D Pharmacy Management Systems

Troy, Michigan, United States

4D Pharmacy Management Systems, Inc. is a full-service pharmacy benefit manager (PBM), serving managed care organizations (MCOs), employers and government-sponsored benefit programs, such as Medicare Part D plans.

Buy $55M