Amil Participacoes SA, Brazil’s largest health insurer, has announced the acquisition of Hospitais Privados de Portugal, or HPP, for 85.6 million euros ($109.7 million).
Amil said in a regulatory filing Wednesday that it agreed to purchase a 100 percent stake in HPP from its controller, a subsidiary of Portuguese state-owned bank Caixa Geral de Depositos.
The Brazilian company said the acquisition includes HPP’s debt and that it could pay an additional 6 million euros ($7.7 million) if certain unspecified targets are met.
According to the filing, the deal still requires regulatory approval in Portugal.
Amil said HPP is a key player in Portugal’s health sector.
Founded in 1998, the group directly owns six hospitals and also operates the Cascais Hospital, a public-private partnership.
The transaction was announced nearly six weeks after UnitedHealth Group, Inc., the leading health insurer in the United States, announced the acquisition of 90 percent of Amil for roughly $4.9 billion.
That deal calls for Amil’s founder, Edson de Godoy Bueno, to retain 10 percent of the company for at least five years and to remain the chairman and CEO of the Brazilian firm.
Bueno is also to acquire $470 million worth of shares of UHG, making him the U.S. giant’s largest shareholder, with an entitlement to a seat on the board.
Besides providing prepaid health services to 5 million policyholders, Amil owns and operates 50 hospitals.