Cigna CEO: 2017 growth could involve Medicare Advantage deals

David Cordani, CEO of Bloomfield, Conn.-based Cigna, said the payer has between $7 billion and $14 billion in capital to use for mergers and acquisitions this year, according to Reuters.

In its first investor meeting since Cigna's proposed merger with Indianapolis-based Anthem failed, Mr. Cordani said Wednesday the insurers' M&A interests include growing its international presence, pharmaceutical management business, physician-related businesses, retail capabilities, government risk-based insurance programs and Medicare Advantage.

While Mr. Cordani said Cigna is interested in building its Medicare Advantage business, he declined to comment if the company is interested in purchasing Louisville, Ky.-based Humana or discussing size or timing of any acquisition. Two-thirds of Humana's revenue comes from Medicare Advantage policies.

Mr. Cordani added Cigna intends to implement a $2 billion share buyback this year, with target earnings per share of $16 for 2021, Reuters reports. 

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