A Hanover provider of health care services to county and city detention centers said Tuesday that it had agreed to sell itself in a cash deal valued at about $57.2 million.
Conmed Healthcare Management Inc. said it would be acquired by Ayelet Investments LLC for $3.85 per share, about 8 percent more than the Anne Arundel County company's closing price on Monday. Ayelet is owned by Dr. James H. Desnick, who Conmed revealed in May was negotiating to buy the company.
Desnick is the company's third-largest stockholder as of June, with 9.4 percent of its shares.
Conmed spiked from $3.05 a share to nearly $3.70 a share when it announced in May that it would consider "strategic alternatives" such as a sale. Several law firms announced Tuesday that they would look into whether the deal undervalued the company.
Conmed has provided correctional health care services since 1984, starting in Maryland and expanding to eight other states.