CI Cigna Group

   By Stephen Nakrosis 
 

Cigna Corporation (CI) and Express Scripts Holding Company (ESRX) on Monday said the Antitrust Division of the United States Department of Justice cleared their pending merger.

"We are pleased that the Department of Justice has cleared our transaction and that we are another step closer to completing our merger and delivering greater affordability, choice and predictability to our customers and clients as a combined company," said David Cordani, President and Chief Executive Officer of Cigna.

In March, Cigna announced it planned to buy Express Scripts in a cash-and-stock deal worth $54 billion. The two companies say the merger will expand their healthcare offerings and help them control costs.

"Together, we believe we will be able to do even more to reduce healthcare costs, expand choice, and improve patient outcomes," said Tim Wentworth, President and Chief Executive Officer of Express Scripts.

The companies said, to date, that they had obtained clearances from departments of insurance in 16 states, and are working with regulators in the remaining jurisdictions to obtain clearance for the merger.

Cigna and Express Scripts said they expect the deal will close by year-end 2018, subject to the satisfaction of all closing conditions.

In Monday afternoon trading, shares of both companies were trading higher. At 2:59 p.m. EDT, Cigna shares were up 3.23% to $201.42. Express Scripts shares were up 4.74% at $96.13.

--Write to Stephen Nakrosis at stephen.nakrosis@wsj.com

(END) Dow Jones Newswires

September 17, 2018 15:26 ET (19:26 GMT)

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