Molina Healthcare Inc said it agreed to buy the health information management business of Unisys Corp for about $135 million in cash, to expand Molina's services and product offerings beyond managed care.

The multi-state managed-care organization said the health information management (HIM) business -- that provides design, development and business process outsourcing solutions to state governments for their Medicaid management information systems -- will complement its own Medicaid health plan business.

The HIM business represents about $110 million in annual revenue, Molina said in a statement.

The deal is expected to close in the first half of 2010.

Shares of Molina Healthcare closed at $23.20 Friday on the New York Stock Exchange while Unisys shares closed at $34.97. (Reporting by Krishnakali Sengupta in Bangalore; Editing by Unnikrishnan Nair)