WellPoint to Acquire Amerigroup for $4.9 Billion – NYTimes.com

WellPoint to Acquire Amerigroup for $4.9 Billion – NYTimes.com.

Nader Nazemi

Angela F. Braly, the chief of WellPoint, tangled with Congress in 2010 over concerns that her company charged customers too much.

And let the Mergers and Acquisition season begin in earnest. Time for the PE firms to start making some moves ass well.

WellPoint, one of the country’s largest health insurers, has agreed to buy Amerigroup in a bid to bolster itsMedicaid business as the industry undergoes an overhaul.

The company said the transaction, which is expected to close early next year, is valued at about $4.9 billion. Under the deal, WellPoint will pay $92 a share in cash for all outstanding shares of Amerigroup, roughly a 43 percent premium over the company’s previous closing price of $64.34.

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