Staff
Aetna has agreed to acquire rival health insurer Humana for US$37 billion in cash and stock.
The transaction will create the second-largest managed care company in the United States.
Aetna is paying US$230 a share for Humana, comprised of US$125 in cash and 0.8375 Aetna common shares for each Humana share.
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The combined company would have projected 2015 operating revenue of approximately US$115 billion, with approximately 56% from government sponsored programs (including Medicare and Medicaid). The combined company will have more than 33 million medical members.
The deal is expected to close in the second half of 2016.
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