It’s Happening

In December, when I said I was ditching Express Scripts from our Buy List, I wrote, “I suspect they’ll be bought out sometime in 2018.” It looks like I was right.

From the WSJ:

Cigna Nears Deal to Buy Express Scripts

Health insurer Cigna Corp. is nearing a deal to buy Express Scripts Holding Co., according to people familiar with the matter.

A deal could be announced as soon as Thursday, the people said. As of Wednesday, Express Scripts had a market value of $41 billion, meaning that with a typical premium the transaction could be worth $50 billion or more.

Terms of the expected deal couldn’t be learned.

A few people asked me why I was ditching it if I thought it was going to be bought. It’s because I thought most of the purchase premium had already been used up during the final quarter of 2017.

Posted by on March 7th, 2018 at 11:19 pm


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