Home » Business » Insurer Aetna to buy Coventry Health for $5.7 billion: WSJ

Insurer Aetna to buy Coventry Health for $5.7 billion: WSJ


Mon Aug 20, 2012 12:47am EDT

(Reuters) – Insurer Aetna Inc (AET.N) has sealed a understanding to buy opposition Coventry Health Care Inc (CVH.N) for $5.7 billion in money and stock, a Wall Street Journal reported, citing people informed with a matter.

Aetna is profitable $42.08 a share for Coventry, a 20.4 percent reward to Friday’s shutting price, a journal said.

Aetna and Coventry Health Care were not immediately accessible for comment.

The merger of Coventry will assistance Aetna to lift a share of income from a supervision business to over 30 percent from 23 percent currently, paper reported.

Aetna expects a merger to supplement about 45 cents per share to a 2014 gain and expects to boost a 2015 gain by 90 cents per share, a Journal said.

(Reporting by Bijoy Koyitty in Bangalore; Editing by Edwina Gibbs)

Source: Article Source


Filed under Business and tagged , , , , , .

Leave a Reply