Both insurers filed documents to the U.S. Securities and Exchange Commission last Friday, granting them six more months to garner all required state and federal regulatory approvals, Business Insurance reported.
“They entered the agreement with an idea of how long the regulatory process will take. Obviously, they didn’t quite get it right,” David Balto, a Washington-based antitrust lawyer and former Federal Trade Commission policy director, told Business Insurance.
In light of an increasingly challenged $48 billion deal between Indianapolis-based Anthem and Bloomfield, Conn.-based Cigna, odds seemed to favor the smaller Aetna-Humana deal, Bloomberg reported. However, the deadline extension may signal the latter has also met underestimated barriers.
The merger gained approval in 17 out of 20 required states, with the Illinois Department of Illinois most recently approving the deal. The California Department of Managed Health also approved the deal, while the Missouri Department of Insurance’s preliminary order did not.
More articles on payer issues:
Insurers in the news: June 23-30
Medicaid expansion in Louisiana may come with challenges
Anthem: Merger completion is ‘the highest priority’
At the Becker's 11th Annual IT + Revenue Cycle Conference: The Future of AI & Digital Health, taking place September 14–17 in Chicago, healthcare executives and digital leaders from across the country will come together to explore how AI, interoperability, cybersecurity, and revenue cycle innovation are transforming care delivery, strengthening financial performance, and driving the next era of digital health. Apply for complimentary registration now.