UnitedHealth Group and Change Healthcare are close to completing their planned $ 13.5 billion merger.
In a Wednesday file, Change Healthcare revealed that the companies had “certified substantial compliance” to a request for additional information from the Department of Justice’s (DOJ) antitrust division. The companies have agreed not to close the deal until February 22, 2022, unless the DOJ closes its investigation before that date.
The two companies first announced the merger in January, with UnitedHealth planning to acquire Change Healthcare for $ 25.75 per share in cash. The company would be part of UnitedHealth’s OptumInsight healthcare services business, adding to its data analytics, research and revenue cycle management capabilities.
The The DOJ has opened his investigation of the deal in March, after the American Hospital Association warned the deal would reduce competition in healthcare IT services and consolidate vast swathes of healthcare data held by the two companies.
By complying with DOJ’s request, the companies have taken one step closer to closing the deal.
Normally, at this point, companies would have to wait a month before closing the transaction, during which the The DOJ must decide whether or not to contest the merger. But in this case, UnitedHealth and Change agreed with the agency to wait 120 days after certifying compliance before merging.
Although this is an important step in the process, it does not necessarily mean that the merger is a done deal. Regulators can still seek an injunction to block the acquisition.
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