Aetna acquired Coventry Health Care for $5.7B equity value ($7.3B including ~$1.6B assumed debt). $42.08/share (cash + stock). Expanded government business: 4M medical + 1.5M Medicare Part D members. Note: Payer deal (borderline pharma scope) but commonly tracked in pharma BD trackers given drug-pricing implications.
Did it work? Outcome assessment
Strategic verdict
Achieved Stated Rationale
Financial impact
Accretive
Assessment window: 5yr post-close.
Key facts
AnnouncedAug 02, 2012
ClosedMay 07, 2013
Deal value$7.3B
Deal typeAcquisition/Merger
Therapeutic areaGovernment-sponsored health insurance
IndicationsGovernment-sponsored health insurance
Key assetsMedicaid, Medicare Advantage, Medicare Part D plans (~5M members)