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WASHINGTON – Antitrust Authorities of Justice Department Prepare to Give Green Light to Two Major Agreements in Health Care Sector,
CVS Health
Body
CVS 1.01%
planned acquisition of a health insurer
Aetna
Inc.
AET 1.71%
and
Cigna
Body
THIS -0.74%
planned purchase of
Express Scripts
Holding Co., according to people familiar with the subject.
These two contracts could receive official antitrust approval in the coming weeks, these people said.
The Justice Ministry has identified some competition concerns around the CVS-Aetna deal, amounting to nearly $ 70 billion.
The size of asset sales could not be immediately apprehended, but a buyer
WellCare Health Plans
Inc.
WCG 0.00%
people familiar with the subject said. The final discussions between CVS, Aetna and the Department of Justice on asset sales are underway, said these people.
The department's approval of the $ 54 billion combination of Cigna and Express Scripts could take place without the government requiring companies to sell assets, people familiar with the review said.
Both agreements highlight the evolution of the health care sector, with the largest players increasingly seeking to integrate multiple business sectors, forming giants ranging from insurance to the management of health care. pharmaceutical benefits.
The companies in both mergers will seek to prove that their combination of assets is best suited to win over customers and consumers, which they promised to do with more seamless, integrated care and services. best efforts to reduce costs.
Spokespersons for CVS and Aetna pointed to recent public remarks by CVS chief executive, Larry Merlo, who said the companies "had considered various possibilities" in the drug plan and transaction model. "
Spokespersons for Cigna and Express Scripts quoted earlier statements in which they said they were working in cooperation with the Justice Ministry and were convinced that the merger would end at the end of the year.
WellCare and Justice spokespersons declined to comment.
Write to Brent Kendall at [email protected], Anna Wilde Mathews at [email protected] and Sharon Terlep at [email protected]
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