On September 28, 2018, HealthCare Partners Holdings, LLC (“HCP”), a subsidiary of DaVita Inc. (“DaVita”), entered into a settlement agreement (the “Settlement Agreement”) with the United States that closes the government’s investigation into HCP practices previously disclosed with the 2015 U.S. Office of Inspector General (OIG) Medicare Advantage Civil Investigation. HCP was acquired by DaVita in 2012 through a merger transaction and comprises the DaVita Medical Group business of DaVita.
As previously disclosed, an escrow established in connection with the HCP merger transaction in 2012 held back a portion of the purchase price to the prior owners of HCP as security for the indemnification rights of the Company. That escrow fully funds this settlement.
Cautionary Statement Regarding Forward-Looking Statements
This Current Report on Form 8-K contains statements that are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. DaVita intends these forward-looking statements to be covered by the safe harbor provisions for such statements. All statements that do not concern historical facts are forward-looking statements and include, among other things, statements about our expectations, beliefs, intentions and/or strategies for the future. These statements can sometimes be identified by the use of forward-looking words such as “may,” “believe,” “will,” “should,” “could,” “would,” “expect,” “project,” “estimate,” “anticipate,” “plan,” “continue,” “seek,” “forecast,” or “intend” or other similar words or expressions of the negative thereof. These statements involve substantial known and unknown risks and uncertainties that could cause DaVita’s actual plans and results to differ materially from those expressed or implied in the forward-looking statements, including, but not limited to the risks and uncertainties described in the risk factors set forth in DaVita’s filings with the U.S. Securities and Exchange Commission (“SEC”), including its Quarterly Report filed on Form 10-Q for the period ended June 30, 2018, and subsequent reports filed with the SEC. These forward-looking statements should be considered in light of these risks and uncertainties. DaVita bases its forward-looking statements on information currently available to it at the time of this report and undertakes no obligation to update or revise any forward-looking statements, whether as a result of changes in underlying circumstances, new information, future events or otherwise.
