Hythiam Inc. shares slid Friday after the Los Angeles-based substance addiction treatment developer said it will acquire psychiatric managed care provider Comprehensive Care Corp.

Hythiam announced after Thursday’s market close that will pay $16.1 million in cash and stock for a controlling interest in Tampa, Fla.-based Comprehensive Care, which services Medicaid, Medicare, and commercial third-party payers. It’s the first step into the insurance business for Hythiam, which licenses an addiction treatment process that combines prescription drugs, nutrients and counseling to reduce recidivism among addicts.

Hythiam stock slightly recovered after dropping 11.5 percent during the session, closing down 81 cents, or 8 percent to $9.25. Shares had hit an all-time high of $10.48 on Thursday prior to the announcement.

The deal would speed up adoption of Hythiam’s Prometa treatment protocol by managed care, government agencies and other groups, Chief Executive Terren Peizer said during a conference call with analysts.

The acquisition, which is expected to close in the first half of this year, is expected to generate combined pro-forma revenue of about $50 million to $60 million in the first year, Peizer said.

First Albany Capital analyst Glenn Garmont agreed that the acquisition should benefit both companies. “Hythiam gains a vast distribution network through CompCare’s 8,000 providers, and CompCare gains a cost-containment tool that is unavailable to its competitors,” Garmont, who has a “strong buy” on a share and a $15 price target, said in an investor’s note.