Judge won't halt most integration between CVS, Aetna during merger review

The federal judge reviewing approval of CVS Health's acquisition of Aetna said he will not require the companies to stop integrating most of their operations, according to CNBC.

On Dec. 18, Judge Richard J. Leon of the U.S. District Court in the District of Columbia asked CVS and Aetna to ensure some of their operations remained distinct while he continues a review of the companies' merger. CVS completed its $70 billion acquisition of Aetna Nov. 28. However, Mr. Leon, who is tasked with reviewing the Justice Department's antitrust settlement, has raised red flags over how the department reviewed the merger.

In an order submitted Dec. 21, Mr. Leon said he would accept CVS' proposal to let Aetna make independent product, pricing and personnel decisions through the review, according to CNBC.

"Based on CVS's constructive and appropriate representations, I am satisfied that, so long as these measures remain in place, the assets involved in the challenged acquisition will remain sufficiently separate (during the review period)," Mr. Leon wrote in his order, according to the report.

More articles on payer issues:
Uninsured rate among children climbs for first time in nearly 10 years
$67B Cigna acquisition of Express Scripts closes Dec. 20
ACA plan enrollment declines to 8.5 million people

Copyright © 2024 Becker's Healthcare. All Rights Reserved. Privacy Policy. Cookie Policy. Linking and Reprinting Policy.

 

Top 40 articles from the past 6 months