Fiserv will hang on to its workers’ compensation services organization and its CareGain, Inc. technology business, but will sell the following operations:
- Fiserv Health Plan Administration, a third-party administrator of self-funded health plans;
- Fiserv Health Plan Management, an outsourcing service for mid-size health plans and health care payer organizations;
- Innoviant, a prescription benefits administrator;
- Innoviant Pharmacy, a prescription mail-order service;
- Avidyn Health, a care management company; and
- Four other components of Fiserv Health’s ancillary businesses.
“This combination will allow Fiserv Health clients to benefit from the wide range of capabilitieswithin UnitedHealth Group, and create more opportunities for our Health group employees,” said Jeffery Yabuki, President and Chief Executive Officer of Fiserv. “Now, Fiserv will be completely focused on expanding its technology leadership position across the financial services landscape.”
The transaction is expected to close by the end of 2007 or in the first quarter of 2008, subject to regulatory approval.
The company will report the operations from the health businesses sold to UnitedHealthcare as discontinued operations beginning with its fourth quarter earnings figures, according to the announcement.