Judge Says Yes To $13B UnitedHealth-Change Healthcare Merger: Report – UnitedHealth Group (NYSE:UNH) #Judge #13B #UnitedHealthChange #Healthcare #Merger #Report #UnitedHealth #Group #NYSEUNH Welcome to Americanah Blog, here is the new story we have for you today:
A U.S. judge on Monday denied the Justice Department’s request to stop UnitedHealth Group Inc’s UNH $13 billion buyout deal for Change Healthcare Inc CHNG.
The Justice Department had filed a lawsuit in February aimed at stopping the acquisition on antitrust grounds.
The deal was announced in January 2021 at $25.75 per share in cash and was expected to close in the second half of 2021.
The judge rejected the claims that the deal would unlawfully suppress competition and limit innovation in health-insurance markets.
In April, UnitedHealth announced its plans to sell Change Healthcare’s claims payment and editing business to private equity firm TPG Capital for $2.2 billion, according to an SEC filing, to ease antitrust concerns. The Justice Department considered the offer insufficient.
Judge Carl Nichols said he would deny the government’s request to stop the deal and ordered the companies to go forward with an asset sale they had proposed.
Wall Street Journal writes that the court ruling represents an early blow to stepped-up antitrust enforcement by the Biden administration.
The Justice Department’s top antitrust official, Jonathan Kanter, said the department disagreed with the decision and considered its next steps.
Price Action: UNH shares closed at $523.55 on Monday. CHNG stock is up 7.38% at $27.35 during the premarket session on the last check Tuesday.
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