Cigna, Anthem Merger Blocked in U.S.
The U.S. district court for the District of Columbia in February 2017 has blocked health insurer Anthem’s proposed merger with Cigna, citing antitrust concerns in respect of large national employers. Anthem announced it will appeal the decision, whilst Cigna “evaluates its options”.
U.S. district judge Amy Berman Jackson found that “the merger is likely to result in higher prices”.
Earlier in 2017, the same U.S. district court had found that Aetna’s proposed merger with Humana fell afoul of antitrust laws, but in different market segments, and ordered it to stop. Aetna and Humana did not appear to intend to appeal, but could still choose to do so. Their decision is expected by mid-February, 2017, when their deal expires, although it could be extended again.
The U.S. Department of Justice’s press release is here. The opinion is not available online as of early February, 2017.