Astrana Health Completes $708M Acquisition of Prospect Health

Healthcare company Astrana Health has completed its acquisition of Prospect Health, an integrated care delivery network, for $708 million—a reduction from the originally announced $745 million price when the deal was first unveiled in 2024. The transaction marks another significant expansion for Astrana as it continues building its integrated care platform across multiple states.

According to Astrana's statement, Prospect Health will contribute approximately $1.2 billion in total revenue and $81 million in adjusted earnings before interest, taxes, depreciation and amortization on an annual basis. The company anticipates achieving $12 million to $15 million of synergies over the next 12 to 18 months as it integrates Prospect's operations.

The acquisition substantially expands Astrana's footprint. Astrana Health currently serves more than 1.6 million patients through over 20,000 providers via its affiliated provider networks, management services and integrated care delivery clinics, which encompass primary, specialty, ancillary and 24/7 virtual care services.

Prospect Health brings a network of 11,000 providers across Southern California, Texas, Arizona and Rhode Island, serving 600,000 members across Medicare Advantage, Medicaid and commercial lines of business. The company's assets include a California Restricted Knox-Keene-licensed health plan, a management services organization, a specialty pharmacy and an acute care hospital. The Knox-Keene license, based on California's 1975 Health Care Service Plan Act, provides regulatory authority through the California Department of Managed Health Care.

This acquisition continues Astrana's growth trajectory that began with the 2017 merger of ApolloMed and Network Medical Management, which formed Apollo Medical Holdings. The company rebranded as Astrana Health last year and has been actively expanding through strategic acquisitions and partnerships.

In 2024, Astrana acquired Collaborative Health Systems, a management services organization with more than 129,000 beneficiaries across 17 states, from Centene Corporation. The company also established key partnerships with Elation Health to scale risk-bearing entities including accountable care organizations and clinically integrated networks. Additionally, Astrana partnered with California-based Anthem Blue Cross and Allied Pacific IPA to expand access to care in underserved communities, opening and managing clinics exclusively for Anthem Blue Cross and Allied Pacific IPA members.

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