Bright Health To Sell Its California Medicare Advantage Business - Quick Facts

(RTTNews) - Bright Health Group, Inc. (BHG) has entered into a definitive agreement with Molina Healthcare, Inc. to sell its California Medicare Advantage business, Brand New Day and Central Health Plan, for $600 million.

Bright Health Group plans to use the proceeds to satisfy its obligations to its bank lenders with the remaining proceeds used towards liabilities in its discontinued ACA insurance business. The company is also announcing that it has extended a waiver and amendment to its credit facility.

Bright Health's Consumer Care Delivery unit will enter into a provider agreement with Molina to serve Medicaid and ACA Marketplace populations in Florida and Texas in 2024.