Extendicare Health Services, Inc. and Managed Health Care Associates, Inc. Reach Agreement for MHA Acquisition of UHF Purchasing Services & Star Purchasing Services

FLORHAM PARK, N.J., Dec. 19, 2011 /PRNewswire/ -- Managed Health Care Associates, Inc. ("MHA") announces that they have reached an agreement in principal with Extendicare Health Services, Inc. ("EHSI") whereby MHA, through its Navigator Group Purchasing Subsidiary, will acquire UHF Purchasing Services and Star Purchasing Services, LLC from EHSI in a transaction that is expected to be finalized and closed in early 2012.

"This will be MHA's third and largest GPO acquisition in the Long Term Care Facility market within the last 12 months," commented Doug Present, MHA's CEO.  "Combined with other recent significant new customer wins, we believe that Navigator will be the largest GPO in the country servicing Long Term Care facilities when this transaction closes.  Our new business model of providing superior contract pricing, new data and analytic tools, and complete pricing transparency has been well received in the industry and offers Long Term Care facilities a new way to manage costs during challenging times for the industry." 

Mark Eaton, CEO of Navigator added, "We are very pleased to be combining with UHF and Star Purchasing.  UHF and Star are the leading GPOs in certain geographic areas where Navigator has not historically had a large presence, making this a very complementary combination.  We look forward to working with our new customers and our new employees as we continue to expand our national footprint."

"UHF and Star have been valued members of the Extendicare family of companies for many years and have grown to be leading GPOs in their markets.  The transaction which consolidates our purchasing business into Navigator, the country's largest long term care GPO, was both timely and opportunistic.  We look forward to continuing a strong working relationship with them in the future," said Tim Lukenda, Extendicare President and CEO.

About Managed Health Care Associates, Inc.
Managed Health Care Associates, Inc. (MHA) is a leading health care service company that offers a growing portfolio of services and solutions to support the diverse and complex needs of the alternate site health care provider. MHA provides expertise in Group Purchasing, Managed Care and Payer Contracting, Reimbursement Management, Specialty Pharmacy Solutions, Pharmaceutical Data Analytics, Clinical Pharmacy Software and Legislative Advocacy. Through the delivery of innovative and targeted health care services and solutions, MHA helps members increase operational efficiency, maximize business growth and provide optimum care for patients. For more information, visit www.mhainc.com.

About Navigator
Navigator Group Purchasing, Inc., a Managed Health Care Associates, Inc. (MHA) company has experienced leadership in healthcare purchasing services, delivering savings and cash flow improvement to members.  A focused portfolio of products, innovative services and strong relationships with members, vendors and manufacturers differentiates Navigator from its competition.  Carefully assembled discounted contracts with key vendors and manufacturers produces committed programs to members for improved savings and increased customer satisfaction.  For more information, visit www.navigatorgpo.com.

For More Information Contact:

Managed Health Care Associates, Inc.:
Angela Elsier
800-642-3020 X2870
[email protected]

SOURCE Managed Health Care Associates, Inc.