Benzinga | Apr 23, 2021 07:02AM EDT

Sun Life Financial To Acquire PinnacleCare For $85M

Sun Life Financial Inc. (TSX:SLF) (NYSE:SLF) announced today that it has agreed to acquire Pinnacle Care International, Inc. ("PinnacleCare"), a leading U.S. medical intelligence and health-care navigation provider.

Based in Maryland, PinnacleCare has more than 170 employees and 20 years of experience helping people access an initial or second medical opinion to make critical, informed treatment decisions for complicated diagnoses. PinnacleCare will become part of Sun Life's U.S. Stop-Loss & Health business ("Stop-Loss & Health"), the largest independent stop-loss provider in the country.

Sun Life will acquire PinnacleCare for a purchase price of US$85 million (approximately C$108 million). The transaction is expected to close in mid-2021, subject to satisfaction of customary closing conditions, including receipt of regulatory approval.

The acquisition will expand Stop-Loss & Health beyond the traditional model that reimburses employers for the costs of serious health conditions after an employee's care has occurred. Through PinnacleCare, Stop-Loss & Health will engage with the employee at diagnosis to help improve the entire spectrum of the care experience and outcomes for both the employee and employer. The transaction will create an integrated offering unique in the stop-loss market.