Hythiam Nixes Merger

0

Los Angeles health care management firm Hythiam Inc. has ended its deal to buy the remaining stock in Comprehensive Care Corp.


The original agreement, announced in January, called for Hythiam to purchase the Tampa-based company, which services Medicaid, Medicare, and commercial health care payers, in a $16 million cash deal.


In the first phase of the deal, Hythiam acquired 1.7 million shares of Comprehensive Care common stock and 14,400 shares of preferred stock, giving it a controlling interest in the company.


However, Hythiam said in a filing with the Securities and Exchange Commission that it can have all of the benefits of the acquisition through its current contractual relationship and controlling majority interest without acquiring the remaining shares.


Shares in Hythiam were down 14 cents, or 1.8 percent, in afternoon trading Tuesday on the Nasdaq.

No posts to display