Primary Health Care Limited (ASX:PRY) is set to buy Transport Health for $18 million.
The health care provider will acquire the private health insurer from the Transport Friendly Society.
Transport Health has about 5,000 policy holders and as part of the move it will apply to become an open-access fund which will help Primary Health Care to expand an insurance offering to a wider membership base.
CEO Dr. Edmund Bateman says the provision of private health insurance is a natural extension of the services currently offered.
Primary Health Care reported a net profit of $162.5 million in the 2014 financial year.
