unitedhealthโ Group โis divesting its South American operations to Patriaโค Investments for approximately $1 billion, according to sources familiar with teh deal.โ The sale includes โฃUnitedHealthS businesses in Brazil, โฃColombia, Chile, Peru, and Mexico, marking a meaningful pullback from the region for the U.S. healthcare giant.
The move allows UnitedHealth โฃto refocusโฃ its capital and strategic efforts โฃon โits โcore North American market and โคits Optum health services division, whileโค Patria, a leading private equity firm in Latin America, expands its footprint in โthe healthcare โsector. The transaction is โฃsubject โto regulatoryโข approvals and is expected โto close in the coming months. This sale comesโข as UnitedHealth faces increased scrutiny in the U.S. over โฃits business practices and rising healthcare costs, and as โคPatriaโค seeks to capitalize on growing demand for private healthcare โฃservices in South America.โ
The businesses beingโฃ sold provide health insurance and managed healthcare servicesโค to approximately 3.2 million members across the region. Patria plans to leverage its local expertise andโค investment โฃresources to further develop and expand these operations, aiming to improve access to quality healthcare for individuals and businesses in South America.
Reuters previously reported that UnitedHealth had been exploring โคa sale of its Southโฃ American assets, seeking a valuationโ of around $1 billion. Patria emergedโฃ as the winning bidder after a competitive auction process.