(Bloomberg) — UnitedHealth Group Inc., Amazon.com Inc., CVS Health Corp. and Option Care Health Inc. are vying to acquire Signify Health Inc., according to people with knowledge of the matter.
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UnitedHealth has submitted the highest bid in excess of $30 a share, while Amazon’s offer is close behind, said the people, asking not be identified as the discussions are private. Signify, a provider of technology and services for home health, is holding a board meeting Monday to discuss the bids, the people said.
No plans are finalized, the bidders’ plans could still change and Signify could always opt to remain independent. Signify didn’t immediately respond to a request for comment sent on Sunday. UnitedHealth, Amazon, CVS and Option Care also didn’t immediately respond.
Signify’s shares closed at $21.20 on Friday, giving the company a valuation of nearly $5 billion. The stock has climbed 6.7% since the Wall Street Journal reported earlier this month that CVS was mulling a bid for the home-health company. The newspaper earlier also reported Amazon was among the bidders.
Final bids are expected Sept. 6 but a deal could come earlier if any of the parties preempt the sales process, the people said.
Concerns about competition in primary care are mounting after Amazon recently agreed to acquire primary-care clinic company One Medical.
Through its software and services, Signify aims to help clients — payers like health plans, government programs and employers — shift to value-based payment plans. These arrangements are intended to improve care and reduce spending by treating patients in lower-cost settings and linking providers’ payments to patient outcomes.
(Updates to show the companies didn’t immediately respond to requests for comment.)
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