Push me, pull you

15 June 2015 By Robert Cyran Follow @rob_cyran

Cigna rebuffed Anthem’s $45 bln offer while mulling a $32 bln bid for Humana. The urge to merge is a predictable attempt to boost profit after the controversial law clamped down on premiums. With only five big insurers, though, any deals will get a thorough antitrust checkup.

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U.S. health insurer Anthem has made a $45 billion, or $175 a share, offer for rival Cigna, according to the Wall Street Journal. The bid, and one made 10 days earlier, were rejected. A $175 a share offer would represent a 27 percent premium over the closing price of Cigna shares on June 12, the last day of trading before news of Anthem’s interest emerged.

Rival Humana is also mulling selling itself. Last month, Cigna and Aetna both expressed interest in acquiring the $32 billion insurer, according to the Journal.

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