Stock Ticker

  • Loading stock data...

Aetna Inc (NYSE:AET) Shows Interest To Acquire Humana Inc (NYSE:HUM)

Aetna Inc (NYSE:AET) has made a proposal to acquire Louisville-based Humana Inc (NYSE:HUM), which is one of the five biggest players in the Insurance Industry of the U.S. Humana offers employment to around 14,000 people.

Humana will declare the second quarter results at the end of July 2015. It will wait till that time to comment on the proposal of Aetna. Aetna has over 1.1 million dedicated healthcare professionals and a clear vision to lead the company in the progressive path by offering quality services to Americans.

The company has roped in Goldman Sachs Group Inc (NYSE:GS) to assist in acquiring Humana. The market value of Humana is estimated at $30 billion.

Greg Fischer, Mayor, has cautioned people not go deep into each development. Mergers and acquisitions are common in the health insurance industry.

In another development, UnitedHealth Group Inc. (NYSE:UNH) has made a takeover bid to Aetna. However, no details are available about the response for the bid from Aetna. The market value of Aetna is estimated at $43 billion.

Anthem Inc (NYSE:ANTM) has announced plans to acquire CIGNA Corporation (NYSE:CI) for $47.5 billion. Cigna has confirmed the receipt of non-binding and highly conditional offer from Anthem. The board of directors of Cigna said the offer is inadequate. It doesn’t suit for Cigna. The growth strategy of Anthem is not impressive. Anthem is also facing other challenging issues like massive data breaches. Anthem has failed to address the issues for a fruitful merger.

Cigna has a consistent performance record and has a clear vision and efficiency to take the company forward in the progressive path. Anthem could not offer any transparency into the issues being faced. Hence, the company has rejected the proposal of Anthem saying the later should have a firm leadership for any fruitful combination.

According to the latest news, Cigna is making a takeover bid for Humana. The top five players in the healthcare industry of the U.S. are scouting for acquisitions or mergers to improve efficiency and scale. The recent developments are the result of the affordable care act.

Published by Nicholas Maithya

Nicholas is a Financial Analyst by profession, who enjoys writing about investments, technological developments, business, economics and other financial topics at various financial publications. Join him here on as he endeavors to deliver to you the latest breaking news on the above mentioned fronts. Contact him by email at [email protected] or follow Nicholas Kitonyi @nmaithyak on Twitter.

Recent Stories

SignUp Now For Our Featured Newsletter