Grupo Hapvida acquired Grupo São José.

Grupo São José, founded in 1965 in São José dos Campos, is a vertically integrated healthcare operator in Vale do Paraíba with 51,000 beneficiaries, two hospitals (7,000 m² built) and two primary care clinics, revenues of R$219 million in 2019 and a 78% medical loss ratio in 1Q20.

Hapvida (HAPV3), a leader in supplementary health in the North and Northeast, expands its vertical model to the interior of São Paulo and already has 20,000 dental lives in the region via Grupo São Francisco.

This acquisition gives Hapvida a vertical platform in a new region, with 1.6 million inhabitants and 600,000 beneficiaries, and seeks synergies in protocols, back office, preventive medicine and dental sales. The payment includes R$240 million in cash, earn-out of R$80 million and up to an additional R$80 million subject to performance targets.