PacifiCare, Maxicare Break Off Talks
TIMES STAFF WRITER
A bid by Cypress-based PacifiCare Health Systems Inc., to expand in Southern California by acquiring bankrupt Maxicare Health Plans Inc. of Los Angeles ran aground Wednesday after negotiations broke off.
In separate statements, both health maintenance organizations confirmed that the talks ended abruptly and that no further discussions are contemplated on PacifiCare’s preliminary offer.
Neither company would disclose details of the offer, which was made public last Thursday.
A merger would have increased PacifiCare’s membership to 956,000 by adding Maxicare’s approximately 320,000 members. More important, it would have boosted PacifiCare’s already large presence in Southern California.
