HEALTH CARE

Foundation Health to Acquire Intergroup Healthcare: Foundation Health Corp., a large operator of health maintenance organizations, will buy Intergroup Healthcare Corp., a smaller but similar company based in Arizona, for $720 million in stock. As part of the deal, Foundation will also acquire Intergroup’s majority stockholder, Thomas-Davis Medical Centers, an operator of 25 medical clinics in Arizona. Under the terms, Rancho Cordova, Calif.-based Foundation will pay for Intergroup in a stock swap that values Intergroup stock at $65 a share. Foundation Health Corp. sank $2.875 to $32.125 on the New York Stock Exchange, and Intergroup Healthcare soared $10.125 to $57.625 on the Nasdaq. The transaction is subject to the approval of shareholders of the three companies and approval of regulators.