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Cigna reportedly not buying Humana

Cigna said it “remains committed to its established M&A criteria and would only consider acquisitions that are strategically aligned, financially attractive, and have a high probability to close,” per a WSJ report.
Levy

Cigna said it isn't buying Humana, per a Wall Street Journal report, which noted that Cigna spoke up because of ongoing speculation it would reach a deal to acquire Humana. 

Cigna said it “remains committed to its established M&A criteria and would only consider acquisitions that are strategically aligned, financially attractive, and have a high probability to close,” per the report, which noted that instead, Cigna said it continued to buy back stock. It expects to use most of the proceeds from the planned sale of its own Medicare business next year on its own shares, the report said.

[Read more: Cigna reportedly in talks to merge with Humana]

Cigna said it has $5.3 billion remaining on its share-repurchase authorization. Cigna said it had spent $6 billion buying back shares this year, including $1 billion so far this quarter, per the report, which further noted that Cigna shares rose about 7% in morning trading, while Humana shares fell more than 4%.

The Wall Street Journal reported late last year that Cigna and Humana were in talks, but Cigna dropped seeking a tie-up after shareholders “balked at a deal. The companies couldn’t agree on price and other financial terms at that time,” the report said.

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