BCBS Louisiana acquisition cost Elevance Health $2.5B

Elevance Health agreed to pay $2.5 billion for Blue Cross and Blue Shield of Louisiana, its first state Blue Cross Blue Shield acquisition in over 15 years, Bloomberg reported Feb. 27. 

According to documents acquired by the outlet, additional conditions could raise the value of the transaction by $1 million. 

BCBS Louisiana, a nonprofit, will use the funds from the acquisition to establish a foundation to address health equity and provide payouts to many of its members. The insurer will become a for-profit subsidiary of Elevance. 

Elevance expects to add 1.6 million members and $4.5 billion in revenue from the purchase.  

The deal is subject to approval from Louisiana regulators and is expected to close this year. 

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