Molina Healthcare Inc. has agreed to acquire a company that runs Medicaid plans in Wisconsin.

Molina, Long Beach, Calif. (NYSE:MOH), a Medicaid managed care company that arranges for health coverage for about 1.5 million people, has offered $16 million in cash for Abri Health Plan Inc., West Allis, Wis., a company with Medicaid operations in 23 Wisconsin counties and a new contract that will let it operate in 6 more counties, including Milwaukee County, starting this fall.

The companies hope to close on the deal by Aug. 31.

-ab