Aetna announced plans on Thursday, September 27, to sell its Medicare prescription-drug business to WellCare Health Plans, a key step towards gaining regulator approval for its US$67.5 billion merger with CVS.
Although financial terms of the deal weren’t disclosed, in a securities filing, Aetna stated that the “purchase price is not material” to the company. The divestiture of the Medicare Part D to WellCare may help resolve objections to the CVS-Aetna deal from US antitrust regulators.
The company stated in the filing that, “Aetna believes the divestiture is a significant step toward completing the DOJ’s (Department of Justice) review.”
WellCare, a smaller health insurer that’s based in Tampa, Florida, has been using deals to fuel its expansion. The company completed a US$2.5 billion deal for the health insurer Meridian in early September, adding about 1.1 million insurance customers to its base of 4.4 million members.
Full Content: Reuters
Featured News
Senators Urged to Expedite Gail Slater’s Confirmation as DOJ Antitrust Chief
Feb 11, 2025 by
CPI
Former Michigan Asphalt Executive Pleads Guilty in Bid-Rigging Scheme
Feb 11, 2025 by
CPI
Ballard Spahr Expands Litigation Team with Addition of Antitrust Attorney in Seattle
Feb 11, 2025 by
CPI
Portuguese Court Overturns €225 Million Fine for Banking Collusion Due to Statute of Limitations
Feb 11, 2025 by
CPI
Binance and SEC Request Stay in Crypto Lawsuit Amid New Regulatory Task Force
Feb 11, 2025 by
CPI
Antitrust Mix by CPI
Antitrust Chronicle® – International Criminal Enforcement
Jan 23, 2025 by
CPI
The Antitrust Division’s Recent Work to Combat International Cartels
Jan 23, 2025 by
Emma Burnham & Benjamin Christenson
Information Sharing: The New Frontier of U.S. Antitrust Enforcement
Jan 23, 2025 by
Brian P. Quinn, Casey Kovarik & Michael Tubach
The Key Role of Guidelines on Exchanges of Information Among Competitors and the Divergent Transatlantic Paths
Jan 23, 2025 by
Rosa Abrantes-Metz & Albert Metz
Leniency, Whistleblowers, and Compliance
Jan 23, 2025 by
Richard Powers, Tara O’Malley & Cory Gordon