DaVita Inc. is selling subsidiary DaVita Medical Group to UnitedHealth Group Inc.'s Optum for $4.9 billion in cash.
DaVita Medical Group will be combined with the OptumCare division, which provides physician-led primary, specialty, in-home, urgent- and surgery-care delivery through affiliated physicians and care facilities.
The merger is expected to complete in 2018 and is subject to certain regulatory approvals and customary closing conditions.
DaVita intends to use the proceeds from the transaction for stock repurchase programs, to repay debt, and for general corporate purposes.
