DOJ taking a closer look at Cigna-Express Scripts merger

U.S. Justice Department
The DOJ requested additional information about the Cigna-Express Scripts merger. (Coolcaesar/Wikimedia)

The Department of Justice has asked both Cigna and Express Scripts for additional information related to a $67 billion merger announced earlier this year, a signal that federal regulators are closely scrutinizing the deal.

The two companies filed notification and report forms with the DOJ and the Federal Trade Commission last month. On Monday, each company received a request from the DOJ “for additional information and documentary material” related to the merger, according to an SEC filing.

“Both companies look forward to continuing to work cooperatively with the DOJ to discuss the many benefits of the transaction, and expect to secure regulatory approval,” the filing states.

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The notice follows a report from Bloomberg last week that Cigna CEO David Cordani told investors the deal would be reviewed by the DOJ.

RELATED: Drug pricing lawsuit proceeds against Cigna as lawmaker calls for a closer look at Express Scripts deal

A merger between CVS Health and Aetna is facing similar scrutiny. Both companies received a request for additional information in February regarding their $69 billion deal. In 2016, the DOJ sued to block a megamerger between Anthem and Cigna, a deal that was eventually struck down by a federal judge.

The DOJ’s request extends the waiting period imposed by federal antitrust laws until regulators complete their review, but the companies expect the deal to close by the end of the year, according to Monday’s filing.

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