UnitedHealth Group Inc . has joined the entreat for a section of Envision Healthcare Corp ., the health-services provider under pressure from activist investor Starboard Value, according to people familiar with the matter.
Envision has attracted affair from state insurer UnitedHealth for its ambulatory business component, said the people, who requested not to be identified as the details aren’t public. Separate an organization of private equity firms, including a consortium comprised of Hellman& Friedman, Onex Corp. and Clayton Dubilier& Rice, as well as one led by Carlyle Group LP, are still interested in buying the whole corporation but would also be open to acquiring percentages, the people said. A transaction could be announced in the next week, they said.
The ambulatory services component, which owns and controls period surgery cores, accounted for about 16 percent of Envision’s revenue in 2017. The company’s shares had slumped 40 percent in the past year through Monday.
If UnitedHealth is successful in its bid for the surgical legion, the two groups of buyout houses may acquire standing resources from the company, the people said.
Carlyle is partnering with TPG Capital on the order, the people said. Members of the other group have owned various regions of Envision’s business in the past, one of the people said, and are keen to acquire the company.
Representatives for UnitedHealth, Carlyle, Hellman& Friedman, TPG and Onex declined to comment. Envision and CD& R didn’t respond to requests for comment.
Minnetonka, Minnesota-based UnitedHealth, which has been diversifying away from guarantee to become a broader health-services firm, last year acquired Surgical Care Affiliates Inc. for $2.3 billion.
Envision announced a review of strategic choice in October, soon after partisan investor Starboard, run by Jeff Smith, disclosed a stake in the company and told you so would make an enticing merger target. Corvex Management, another partisan conglomerate, is also a shareholder.
Envision, which provides for works including surgery and medical imaging, agreed to sell its air-ambulance enterprises to KKR& Co. in August for $2.4 billion.