Cigna CEO David Cordani said in private that he regretted agreeing to merge with Anthem, despite publicly backing the deal as good for investors, Anthem lawyers alleged in court March 4, according to Bloomberg.
Four things to know:
1. A trial over whether Anthem or Cigna owes the other billions after the botched merger attempt began Feb. 25. While Cigna argues it’s owed more than $16 billion as the injured party, Anthem claims it’s owed $20 billion because Cigna sabotaged the deal.
2. Cigna shareholders were set to receive almost a 30 percent premium on their stock after the $48.9 billion deal closed. However, internal differences between the payers began to escalate when Mr. Cordani learned then-Anthem CEO Joseph Swedish would lead the combined company, according to court testimony.
3. During trial March 4, Anthem officials testified that once Mr. Cordani found out he would not lead the merged firm, he wrote a June 2015 email saying his “soul was still unsettled” by the deal. He also wrote that he had “remorse about making the decision” to agree to the merger, according to Bloomberg.
4. The case is being heard in Delaware Chancery Court in Wilmington.
Date: March 7, 2019