Optum acquires The Advisory Board's healthcare business for $2.58B — 5 insights

Optum entered into an agreement to acquire The Advisory Board's healthcare business for $2.58 billion.

Here's what you should know:

1. The Advisory Board is a healthcare and education research, technology and consulting company. The combined companies will offer advisory services employing analytical insights and providing "operational value to clients," Optum CEO Larry Renfro said in a release.

2. Advisory Board shareholders will receive $54.29 per share after the agreement closes.

3. The Advisory Board Company also sold its education business to Vista Equity Partners affiliates including Royall & Company.

4. The Advisory Board Company's CEO Robert Musselwhite said in a release, "Our board of directors and executive leadership team conducted a thorough review of strategic alternatives for the company. After careful consideration, we determined that transactions with Optum
and Vista Equity Partners allow us to accelerate the success of our health care and education businesses while realizing immediate value for stockholders."

5. The merger is expected to close by late 2017 or in early 2018, contingent on stockholder approval.

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