UnitedHealth, Amedisys extend deadline to close $3.3 bln deal (updated)

Amedisys

27/12/2024 11:43

(Adds background in paragraph 2, details in paragraphs 3-5)
       Dec 27 (Reuters) - UnitedHealth  UNH.N  and Amedisys
 AMED.O  have agreed to extend the deadline to close their $3.3
billion merger agreement to next year, a regulatory filing
showed on Friday.
    The extension comes more than a month after the U.S.
Department of Justice and three U.S. states filed a lawsuit to
block the acquisition, citing concerns that the deal would
reduce competition in the home health services market.
    The companies have entered into a new waiver agreement,
which extends the merger deadline to 10 days after a final court
decision is issued in the lawsuit or Dec. 31, 2025, whichever is
earlier, the filing said.
    UnitedHealth and Amedisys had earlier expected to close the
merger by Dec. 27, 2024.
    The new waiver agreement includes a regulatory break fee of
$275 million, which may increase up to $325 million, if the
companies fail to divest some assets.

 (Reporting by Sriparna Roy in Bengaluru; Editing by Anil
D'Silva and Shilpi Majumdar)
 ((Sriparna.Roy@thomsonreuters.com))