Coventry Health investors sue over $5.6B Aetna buyout
Aetna Inc.'s $5.6 billion takeover of health insurer Coventry Health Care Inc. shortchanges Coventry investors while unfairly enriching the company’s top executive, investors said in a lawsuit. Aetna, the third-biggest U.S. health plan, agreed last month to pay $42 a share for Coventry, the best performer in New York trading among medical insurers this year. The deal is structured to discourage other bidders and provides $7.6 million in bonuses to Coventry Chief Executive Officer Allen Wise, who didn’t shop around for the highest offer for the insurer, three pension funds said in the suit.
- Senators Hear How Two-Midnight Rule Harms Patients, Hospitals
- 3 Management Lessons from a Supermarket Debacle
- Handshaking Spreads Germs. Get Over It.
- Healthcare Costs Start With What We Eat
- Hospitals Likely to Outsource ICD-10 at Launch
- IOM Identifies GME Problems, Calls for Finance Changes
- CMS Confirms ICD-10 Deadline
- Anatomy of 3 Health System Rebranding Efforts
- Premium Subsidy Fight Creating Uncertainty for Hospitals, Health Plans
- Medicare Advantage Carriers See 'No Choice' But to Accept Cuts