UnitedHealth Group Inc. (NYSE:UNH) sold an interest in some Florida-based Optum Health operations to private equity firm TPG Inc. (NASDAQ:TPG) as the health care giant works to improve the unit’s profitability.
The health conglomerate executed this financial transaction to successfully bounce back from last year’s significant profit downturn.
“We didn’t need the dollars; we have the dollars to invest, but we needed the focus and somebody that could actually work with us locally,” UnitedHealth CFO Wayne DeVeydt said in a Bloomberg interview.
Overcoming Profitability Hurdles
The health insurance giant is actively reorganizing its enterprise following unexpectedly weak earnings. Failures within the Optum Health medical clinic division primarily fueled this unexpected financial decline.
