Medicaid insurance giant Centene reportedly plans massive Charlotte expansion
Centene Corp., which specializes in government health insurance programs, is expected to announce a massive expansion in Charlotte on Wednesday, according to the Charlotte Business Journal.
The St. Louis-based company is planning to build a campus near UNC Charlotte that could measure up to 1 million square feet and add more than 3,000 jobs. Based on Centene’s investment and and job-creation goals, the company is lined up to receive nearly $400 million in state incentives, an unnamed source told the newspaper.
Centene representatives did not immediately return requests for comment, The company has more than 56,000 employees and reported $74.6 billion in revenue. Its subsidiaries include Health Net, WellCare, Total Carolina Care, Inc. and Carolina Complete Health.
Centene ranked 42nd on last year’s Fortune 500 list. It will be bigger this year after Centene acquired Tampa, Fla.-based WellCare Health Plans for about $17 billion in January. The combined companies serve 22 million people, including nearly 13 million Medicaid members and about 1 million Medicare Advantage members.
Centene is now the third-largest U.S. publicly traded health insurer behind United Healthcare and Anthem, and fourth overall including Aetna, which is owned by CVS.
Shares of Centene have soared 30-fold since the company went public in 2001. The company was founded in Milwaukee in 1984. CEO Michael Neidorff, who has led the company for 23 years, received total compensation of about $26 million last year.
Last October, Centene’s Carolina Compete Health was awarded the right to provide additional Medicaid managed care services in the Charlotte region. Separately, WellCare was awarded a statewide contract to administer North Carolina’s Medicaid Prepaid Health Plans, according to the company’s most recent quarterly filing with the Securities and Exchange Commission. Those contracts were originally supposed to go into effect in the second half of this year, but were delayed until 2021.