Miami, Florida, October 2, 2007 The stockholders of Leon Medical Centers Health Plans, Inc. ("LMCHP") closed yesterday on their sale of all of the outstanding capital stock of LMCHP to a wholly-owned subsidiary of HealthSpring, Inc. (NYSE: HS). Attorneys for Bilzin Sumberg Baena Price & Axelrod, LLP represented LMCHP and the selling stockholders in the transaction.
The purchase price for the acquisition consisted of $355 million in cash at closing and additional consideration of approximately 2.7 million shares of HealthSpring common stock valued at the time of closing at approximately $52 million. The shares of HealthSpring common stock are being placed into escrow pending satisfaction of certain conditions.
As part of the transaction, LMCHP entered into a 15-year exclusive Medical Services Agreement with Leon Medical Centers, Inc. ("LMC"), an operator of five Medicare only medical centers located throughout Miami-Dade County, FL servicing the Hispanic Medicare community.
Samuel C. Ullman, Co-Chair of the firm's Tax Group, has served as counsel for LMCHP and LMC since their formation.
Notes to Editors
1. Bilzin Sumberg's Corporate & Securities Group has built a strong reputation for highly complex corporate work, including mergers and acquisitions, corporate finance, securities, capital markets, regulatory, joint ventures and strategic alliances, leveraged buyouts and management buyouts; "going private" transactions; and tax matters.
2. Samuel C. Ullman represents clients in entity selection, joint ventures and partnerships, mergers, acquisitions and business combinations. He also has substantial experience in tax issues, including those related to tax-exempt organizations and bankruptcies.
About Bilzin Sumberg
Bilzin Sumberg is a commercial law firm based in Florida. The Firm’s core practices include Business Finance & Restructuring, Corporate, Environmental, International, Land Development & Government Relations, Litigation, Real Estate, and Tax. For more information, please visit bilzin.com.