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UnitedHealth to sell Change Healthcare's claims business for $2.2 billion

UnitedHealth to sell Change Healthcare's claims business for $2.2 billion
UnitedHealth to sell Change Healthcare's claims business for $2.2 billion   -   Copyright  Thomson Reuters 2022
By Reuters

-UnitedHealth Group has entered an agreement to sell Change Healthcare’s claims editing business to private equity firm TPG Capital for $2.2 billion after the healthcare company completes its acquisition of Change.

Earlier this month, UnitedHealth and Change agreed to extend the closing date of their $8 billion merger by another nine months to Dec. 31 after the U.S. Department of Justice (DoJ) sued to stop the deal.

The sale of the claims business will only go through once the acquisition is complete, Change said in a regulatory filing. https://www.sec.gov/ix?doc=/Archives/edgar/data/1756497/000119312522116452/d574197d8k.htm

UnitedHealth and Change offer competing softwares for processing healthcare claims and together serve 38 of the top 40 health insurers in the country, the DoJ said in its complaint in February.

The agency said UnitedHealth knew that access to claims would give it a view into rival health plans at Humana Inc, Anthem Inc <ANTM.N, CVS Health Corp’s Aetna and Cigna Corp.

UnitedHealth, which has said it would fight the lawsuit, did not immediately respond to a Reuters request for comment following Monday’s announcement.