=Express Scripts (ESRX) to be acquired by Cigna (CI) for $48.75/share

• In 2015, Cigna (NYSE:CI) agreed to combine with Anthem (NYSE:ANTM), in a deal that was scuttled by regulators, while late last year Anthem said it would launch its own PBM, dealing a blow to Express Scripts, which is a partner of the health insurer.

Express Scripts confirms deal to be acquired by Cigna (CI) for approximately $67 bln in cash and stock stock ($48.75/share in cash, 0.2434/share in stock) 

The co's announced that they have entered into a definitive agreement whereby Cigna will acquire Express Scripts in a cash and stock transaction valued at approximately $67 billion, including Cigna's assumption of approximately $15 billion in Express Scripts debt. The merger consideration will consist of $48.75 in cash and 0.2434 shares of stock of the combined company per Express Scripts share. The transaction was approved by the board of directors of each company.

• Upon closing, the combined company will be led by David M. Cordani as President and CEO. Tim Wentworth will assume the role of President, Express Scripts. The combined company's board will be expanded to 13 directors, including four independent members of the Express Scripts board.
• Expected to deliver first year double digit earnings per share accretion and enhances Cigna's revenue and earnings growth

The transaction, which is expected to be completed by December 31, 2018, is subject to the approval of Cigna and Express Scripts shareholders and the satisfaction of customary closing conditions, including applicable regulatory approvals. Until the closing, Cigna and Express Scripts will continue to operate as independent companies.