Even If Justice Dept. Blocks Insurer Mega-Mergers, Consolidation Trend Likely To Continue
The New York Times reports on how the changing environment of the health care sector supports the merging and combining of hospitals and doctor groups. Meanwhile, Bloomberg reports that Aetna is prepared to go to court to proceed with its proposed takeover of Humana.
The New York Times:
Failure Of 2 Health Insurer Mergers Is Unlikely To Stop The Efforts
The Justice Department is expected to block two mergers involving four of the nation’s five largest health insurance companies, on the ground that the deals would harm competition. But don’t expect the action to stop the consolidation in the health care industry anytime soon. No matter the fate of the deals between Anthem and Cigna, and Aetna and Humana, hospitals, doctors’ groups and even insurers are almost certain to continue their scramble to find partners in a rapidly changing environment. Blockbuster deals may slow, but smaller combinations will remain attractive. (Abelson, 7/20)
Aetna Ready To Fight For $37 Billion Humana Deal In Court
Aetna Inc. is ready to go to court if necessary to proceed with its $37 billion takeover of health insurance rival Humana Inc., the company said Wednesday...The insurer is prepared to argue that there are several ways to ensure there’s enough competition in the market for health plans for the elderly, known as Medicare Advantage, according to a person familiar with the matter. (Tracer, 7/20)