LONG BEACH, Calif. and HOUSTON, July 26, 2016 /PRNewswire-USNewswire/ -- Molina Healthcare, Inc. (NYSE: MOH) and Memorial Hermann Health Plan, Inc. jointly announced today that Molina Healthcare of Texas, Inc., a wholly-owned subsidiary of Molina Healthcare, has entered into an agreement with Memorial Hermann to enhance access to safe, high-quality care for Medicaid, Medicare and CHIP recipients in the greater Houston area. At the closing of the transaction, Molina's approximately 14,000 STAR, CHIP and CHIP Perinate members residing in the Harris Service Delivery Area will become members of Memorial Hermann Health Plan. As part of the transaction, Memorial Hermann will become a contracted provider in Molina's network serving STAR+PLUS, STAR+PLUS MMP and Medicare D-SNP members. The transaction is expected to close during the second quarter of 2017 subject to the receipt of regulatory approvals and the satisfaction of other closing conditions.
"Molina is excited to expand access for our Houston members through the addition of Memorial Hermann's integrated network of physicians and hospitals," said Anne Rote, president of Molina Healthcare of Texas. "Molina and Memorial Hermann share a common mission to focus on quality and cost-effective health care for all individuals, and this arrangement will help both organizations achieve that goal."
"Memorial Hermann Health System has been serving greater Houston as well as Harris and surrounding counties for more than 100 years," said Dan Styf, CEO of Memorial Hermann Health Plan. "STAR, CHIP and CHIP Perinate members can be assured that our health plan's alignment with Memorial Hermann, the market leader in Houston, and a wide network of strategic provider partners, will give them direct access to high-quality, easily accessible care."
About Molina Healthcare of Texas
Since 2006, Molina Healthcare of Texas has been providing government-funded care for low-income individuals. From the beginning and through today, our mission has been to bring high-quality and cost-effective health care to kids, adults, seniors, families and people with disabilities. As of March 2016, the company serves approximately 260,000 members through Medicaid, CHIP, Medicare, Medicare-Medicaid (Duals) and Health Insurance Exchange programs, with service areas across Texas. Our state Provider Network includes 6,114 primary care physicians and 41,103 specialist physicians.
About Molina Healthcare, Inc.
Molina Healthcare, Inc., a FORTUNE 500 company, provides managed health care services under the Medicaid and Medicare programs and through the state insurance marketplaces. Through our locally operated health plans in 11 states across the nation and in the Commonwealth of Puerto Rico, Molina serves approximately 4.2 million members. Dr. C. David Molina founded our company in 1980 as a provider organization serving low-income families in Southern California. Today, we continue his mission of providing high quality and cost-effective health care to those who need it most. For more information about Molina Healthcare, please visit our website at molinahealthcare.com.
About Memorial Hermann
An integrated health system, Memorial Hermann is known for world-class clinical expertise, patient-centered care, leading edge technology, and innovation. The system, with its exceptional medical staff and approximately 25,000 employees, serves to advance health in Southeast Texas and the Greater Houston community. Memorial Hermann's 16 hospitals include four hospitals in the Texas Medical Center: among those facilities is a full-service adult hospital; a children's hospital which houses neonatal intensive care services and a pediatric intensive care unit; the Memorial Hermann Red Duke Trauma Institute; and the nation's busiest Level 1 Trauma Center. The system also operates 12 community hospitals, three Heart & Vascular Institutes, the Mischer Neuroscience Institute, four IRONMAN Sports Medicine Institute locations and a comprehensive ambulatory care network.
Memorial Hermann Health Plan, Inc. is a wholly-owned HMO subsidiary of Memorial Hermann. Through its affiliates, Memorial Hermann Health Solutions, Inc., Memorial Hermann Health Insurance Company, and Memorial Hermann Employer Solutions, the company offers a variety of HMO & PPO products to commercial and Medicare Advantage members as well as a broad range of third-party administrator (TPA) services and on-site wellness programs for numerous large employers.
Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995: This press release contains "forward-looking statements" regarding the agreement between Memorial Hermann Health Plan, Inc. and Molina Healthcare of Texas, Inc. All forward-looking statements are based on current expectations that are subject to numerous risk factors that could cause actual results to differ materially. Such risk factors include, without limitation, risks related to: the timely closing of the transaction, including the need to obtain regulatory approvals and other third party consents; any conditions imposed on the parties by regulators in connection with consummating the transaction described herein; the satisfaction or waiver of closing conditions for the transition and integration of Molina's members into Memorial Hermann Health Plan; maintaining provider relations; and the possibility that the transaction will not be completed on a timely basis or at all. Additional information regarding the risk factors to which Molina Healthcare is subject is provided in greater detail in its periodic reports and filings with the Securities and Exchange Commission, including its most recent Annual Report on Form 10-K. These reports can be accessed under the investor relations tab of Molina Healthcare's website or on the SEC's website at sec.gov. Given these risks and uncertainties, Molina Healthcare can give no assurances that its forward-looking statements will prove to be accurate, or that any other results or events projected or contemplated by its forward-looking statements will in fact occur, and Molina Healthcare cautions investors not to place undue reliance on these statements. All forward-looking statements in this release represent Molina Healthcare's judgment as of the date hereof, and Molina Healthcare disclaims any obligation to update any forward-looking statements to conform the statement to actual results or changes in its expectations that occur after the date of this release.
Molina Healthcare Contacts:
Juan José Orellana
Memorial Hermann Contact:
SOURCE Memorial Hermann Health System