UnitedHealth Sells Florida Clinics Stake to TPG

UnitedHealth Group sold an interest in several Florida Optum Health operations to private equity firm TPG. The clinics belong to Optum's WellMed business, which provides healthcare for older patients. The partnership with TPG began within the past year as the health conglomerate works to recover from a drop in profits.

Optum Health Chief Executive Officer Krista Nelson said the team brought in a partner to make more investments and prepare for strategic growth. UnitedHealth currently opens about 15 clinics a year in Florida. Working alongside TPG enables faster expansion while management handles a wider operational turnaround.

Last year, Optum Health posted negative operating margins due to rising healthcare expenses and tighter federal payment policies. The weak performance led UnitedHealth to replace its chief executive officer and other executives. CFO Wayne DeVeydt stated that Optum Health margins will reach around 2% this year, ahead of previous forecasts, before climbing to roughly 4% in 2027 and 6% in 2028.

TPG also acquired Optum UK earlier this year, which generated $400 million for the United Health Foundation. UnitedHealth plans to reaffirm its financial guidance at an investor conference hosted by Wells Fargo on Wednesday.