Elevance Health, formerly known as Anthem, has signed a deal to acquire Blue Cross and Blue Shield of Louisiana for an undisclosed sum, the health insurer announced Monday.
The deal will add nearly 2 million people to the insurer’s total medical membership of more than 47 million at the third quarter’s end. Elevance will now operate Blue Cross Blue Shield plans in 15 states if the deal closes.
BCBS of Louisiana said it needs a partner to deliver innovative products and capabilities.
Elevance will “help us deliver these faster and better than we could alone” Steven Udvarhelyi, CEO of BCBS of Louisiana, said in a joint statement.
The deal is expected to close later this year pending regulatory approvals.
The two already have some experience working together, including a joint ownership of Healthy Blue, which covers Medicaid and Medicare dual eligible members in the state.
The Louisiana plan headquarters will remain in Baton Rouge. The plan employs nearly 3,000 people in Louisiana.
In November, Elevance CEO Gail Boudreaux said the insurer planned to continue aggressively pursuing acquisitions to complement its core health plan business.
The comments came on the heels of Elevance's announcement to acquire specialty pharmacy BioPlus, which caters to patients with complex and chronic conditions like cancer and multiple sclerosis.
Elevance is expected to announce its fourth quarter and 2022 financial results Wednesday.