Bumps in the road
Anthem and Cigna executives squabble and accuse each other of violating the merger agreement.
JULY 21, 2016: The U.S. Justice Department, joined by 11 states and the District of Columbia, sues to block the Anthem-Cigna deal, claiming it would harm competition in the national market, some local markets and on the ACA exchanges. Cigna says it’s “evaluating its options ... under the agreement.”
NOV. 21, 2016: Antitrust trial begins.
JAN. 18, 2017: Anthem asks for more time to close the deal. Cigna hedges again.
FEB. 8, 2017: U.S. District Judge Amy Berman Jackson blocks the merger, saying it would harm competition. Berman says Cigna execs were actively warning against the merger and even presented evidence undermining Anthem’s cost-savings projections. Anthem says it will immediately appeal the decision; Cigna yet again says it will evaluate its options.
JULY 21, 2016: The Justice Department, eight states and the District of Columbia sue to block the merger, claiming it will harm competition and raise prices in the Medicare Advantage market and in the public exchanges.
DEC. 5, 2016: Antitrust trial begins.
JAN. 23, 2017: U.S. District Judge John D. Bates blocks the merger based on anticompetitive effects in the Medicare Advantage market and public exchanges.
Aetna said it would review the opinion and consider appealing.