unitedhealth Group is divesting its South American operations to Patria Investments for approximately $1 billion, according to sources familiar with teh deal. The sale includes UnitedHealthS businesses in Brazil, Colombia, Chile, Peru, and Mexico, marking a meaningful pullback from the region for the U.S. healthcare giant.
The move allows UnitedHealth to refocus its capital and strategic efforts on its core North American market and its Optum health services division, while Patria, a leading private equity firm in Latin America, expands its footprint in the healthcare sector. The transaction is subject to regulatory approvals and is expected to close in the coming months. This sale comes as UnitedHealth faces increased scrutiny in the U.S. over its business practices and rising healthcare costs, and as Patria seeks to capitalize on growing demand for private healthcare services in South America.
The businesses being sold provide health insurance and managed healthcare services to approximately 3.2 million members across the region. Patria plans to leverage its local expertise and investment resources 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 a sale of its South American assets, seeking a valuation of around $1 billion. Patria emerged as the winning bidder after a competitive auction process.
