Aetna, Humana Consider Appealing Court Decision Blocking Their Merger

Aetna and Humana are considering appealing a federal court ruling that blocks their $34-million merger, Reuters reports. In a joint statement issued yesterday, Aetna CEO Mark Bertolini and Humana CEO Bruce Broussard, said: “We continue to believe a combined company will create access to higher-quality and more affordable care, and deliver a better overall experience for those we serve.”

Analysts who spoke to Reuters don’t think such an appeal would be successful. U.S. Federal Judge John D. Bates ruled that “the merger would likely substantially lessen competition in the market for individual Medicare Advantage in all 364 complaint counties. This conclusion is based on identification of the proper product market, the overwhelming market concentration figures generated by the merger, and the considerable evidence of valuable head-to-head competition between Aetna and Humana, which the merger would eliminate.”

Source: Reuters