AETNA AND HUMANA ABANDON MERGER

On the heels of the failed merger between Anthem and CIGNA, Aetna and Humana announced today the insurance giants will abandon their $37 billion merger.  The announcement comes after U.S. District Judge John D. Bates issued a 158-page opinion agreeing with the Justice Department that the merger would substantially reduce competition for Medicare Advantage plans.  Judge Bates’ opinion can be found here

Aetna will have to pay Humana $1 billion for terminating the merger.

A Law360 article discussing the failed merger in detail can be found here.