Passport Health Plan sells majority stake for $70M

Passport Health Plan, a health insurance company controlled by healthcare providers in Louisville, Ky., will sell 70 percent of its stake to health plan administrator Evolent Health, according to local news station WDBR.

Under the terms of the agreement, Evolent will acquire 70 percent ownership of Passport for $70 million. Passport's Louisville-based controlling groups — the University of Louisville and two affiliates, Norton Healthcare and the Louisville-Jefferson County Primary Care Association — will retain 30 percent ownership in Passport.

Passport CEO Mark Carter will be replaced by the president of Evolent's national Medicaid business, Scott Bowers. A new board of directors will govern the health plan, with members from the healthcare organizations and Evolent residing on the board. Evolent said it intends to keep all Kentucky operations under the Passport name.

The sale is expected to close in fall 2019, according to WDBR.

Passport provides managed Medicaid services to more than 300,000 members.

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