Change Healthcare is said to consider asset sales in UnitedHealth deal

Jan. 24, 2022 9:46 PM ETChange Healthcare Inc. (CHNG), UNHBy: Joshua Fineman, SA News Editor3 Comments

UnitedHealthcare Indiana Office. UnitedHealth Group Provides Employer, Individual and Family Health Insurance.

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  • Change Healthcare (NASDAQ:CHNG) is said to consider selling some assets in order to help gain regulator approval for its sale to UnitedHealth Group (NYSE:UNH).
  • Change Healthcare (CHNG) is working with advisers on potential sale of its payment integrity business, ClaimsXten, according to a Bloomberg report. ClaimsXten may be valued at more than $1B in a sale. There's no certainty a sale agreement will be struck or that it will be enough to satisfy regulators.
  • The report comes as the $8B transaction has drawn scrutiny from U.S. antitrust regulators. Last month UNH pushed back the deadline to complete its merger with Change Healthcare (CHNG) to April 5 as it works to gain regulatory approval for the deal. In November, the companies agreed with the Department of Justice to not complete the transaction before Feb. 22.
  • The Information reported in August that the U.S. Dept. of Justice was considering a lawsuit to block the company's sale sale to UnitedHealth (UNH). The DOJ was reportedly evaluating whether UNH may have incentive to block or restrict access of competing insurers to Change Healthcare.
  • Last week, UnitedHealth tops revenue estimates as Optum business outperforms.
  • Change Healthcare is scheduled to report Q3 results on Feb. 2.
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