NEW YORK May 12 Anthem Inc said on
Friday it notified Cigna Corp that the $54 billion merger
deal was off after it lost a Delaware business court ruling on
Thursday and also said it would not pay Cigna the $1.85 billion
merger break-up fee.
Anthem and Cigna have been in legal disputes since the U.S.
Justice Department won its case to block the merger of the two
health insurers on antitrust grounds. Cigna was suing in
Delaware to terminate the merger while Anthem pursued appeals of
the antitrust decision.
"Cigna’s repeated willful breaches of the merger agreement
and its successful sabotage of the transaction has caused Anthem
to suffer massive damages," Anthem said in a statement.
(Reporting by Caroline Humer; Editing by Bernard Orr)