Managed Health Care Associates, a healthcare service company focused on alternate site providers, has acquired Tidewater Group Purchasing from Omnicare, a Kentucky-based provider of pharmaceutical care for the elderly.
MHA's acquisition of Tidewater follows the New Jersey-based company’s acquisition of Navigator Group Purchasing late last year. The combined GPOs make it one of the largest and fastest growing companies serving long-term care facilities.
"The acquisition of Tidewater Group Purchasing is a huge step forward towards achieving our goals in this class of trade,” said Doug Present, MHA's chief executive officer. “We have clearly stated our intentions to become the largest GPO servicing long-term care facilities, with a plan to achieve this through both organic growth and acquisitions. We also intend to compete for this market by offering our members the best contract pricing, exceptional customer service, superior analytic tools, and complete pricing transparency. Tidewater has been a market leader for many years and this acquisition clearly fits with our strategy for this industry. We are excited about bringing Tidewater's customers and employees into our company as part of our Navigator subsidiary."
"The divestiture of our group purchasing organization is consistent with our strategy to focus attention and reallocate resources to those areas of our business that align most closely with our core strengths and growth objectives," said John Figueroa, Omnicare's chief executive officer.
[See also: Moody's changes Omnicare's rating outlook]
Financial terms of the sale were not disclosed.