ATLANTA, May 07, 2020 (GLOBE NEWSWIRE) -- The Providence Service Corporation (“Providence” or the “Company”) (NASDAQ:PRSC) today announced that on May 6, 2020, its subsidiary, LogistiCare Solutions, LLC (“LogistiCare”), acquired National MedTrans, LLC (“National MedTrans”), comprised of its ongoing contractual relationships to provide non-emergency medical transportation (“NEMT”), from Specialty Benefits, LLC.
National MedTrans’ contractual relationships, which are primarily capitated, provide more than five million trips annually to approximately two million members on behalf of State Medicaid agencies and managed care organizations across twelve states.
“This acquisition advances our relationship with several key payors and adds more than $200 million of estimated annual revenue to LogistiCare’s market-leading platform,” said Dan Greenleaf, President and CEO of The Providence Service Corporation and LogistiCare. “This unique opportunity enables LogistiCare to leverage its existing operations and national footprint. We expect the gross margin profile of the acquired book of business to be in line with that of LogistiCare and for this transaction to be accretive to Providence’s earnings.”