FOR IMMEDIATE RELEASE: May 14, 2015
Contact: Karen Lancaster, email@example.com
UNIVERSITY OF MARYLAND MEDICAL SYSTEM TO ACQUIRE RIVERSIDE HEALTH, INC.
Managed Care Organization Serves Medicaid Recipients Across Maryland
BALTIMORE – May 14, 2015 The University of Maryland Medical System (UMMS) announced today that it has entered into an agreement to acquire Riverside Health, Inc., a managed care organization (MCO) providing health coverage to Medicaid enrollees in 20 of Maryland’s counties and Baltimore City. The transaction is expected to close when all required regulatory approvals have been received.
Riverside Health currently serves 25,000 lives enrolled in the state’s Maryland HealthChoice Program. It is currently seeking approval from the U.S. Centers for Medicare and Medicaid Services (CMS) to offer a Medicare Advantage Plan for the plan year 2016.
“The acquisition of Riverside Health will pave the way for UMMS to enter the Medicaid and Medicare managed care market in Maryland,” says Robert A. Chrencik, University of Maryland Medical System’s president and chief executive officer. “We are very fortunate to draw on Riverside Health’s expertise and infrastructure as we move ahead toward offering a benefit plan including a Medicare Advantage product. Offering insurance products fits well with our model to be a comprehensive health services provider to the people of Maryland and beyond.”
Mark Puente, president and chief executive officer of Riverside Health, Inc., says, “Riverside Health was founded with the goal of improving health care for the most vulnerable by bridging the gaps between providers and payors. Joining UMMS provides us the opportunity to create synergies to continuously improve the services we provide our members.”
The agreement for UMMS to purchase Riverside Health was approved by the boards of directors of UMMS and Riverside Health.
About University of Maryland Medical System
The University of Maryland Medical System currently includes 12 health systems and hospitals across Maryland including the University of Maryland Baltimore Washington Medical Center; University of Maryland Charles Regional Medical Center; University of Maryland Medical Center; University of Maryland Medical Center Midtown Campus; University of Maryland Rehabilitation & Orthopaedic Institute; University of Maryland Shore Health System; University of Maryland St. Joseph Medical Center; and University of Maryland Upper Chesapeake Health System, as well as the freestanding University of Maryland Shore Emergency Center at Queenstown and the University of Maryland Shore Nursing & Rehabilitation Center in Chestertown. UMMS also operates Mt. Washington Pediatric Hospital as a joint venture with Johns Hopkins.
About Riverside Health, Inc.
Riverside Health, Inc. owns and operates a Medicaid Managed Care Organization (MCO), providing managed healthcare services to members in the Maryland HealthChoice program. The company of approximately 100 employees was founded in 2011. Its Medicaid plan has approximately 25,000 members and operates in 20 counties across Maryland plus Baltimore City. Riverside Health works closely with its members and their doctors to provide the best possible care. The company promotes strong doctor-patient relationships through supportive care management strategies and innovative technology.