Last month, a federal judge ruled against the proposed $54 billion merger between Anthem and Cigna. According to U.S District Judge Amy Berman Jackson, the merger would have worsened an already highly concentrated market and is likely to raise prices. Anthem argued that there was enough competition because large companies with more than 5,000 employees often used multiple smaller companies but the judge disagreed.
"Regional firms and new specialized 'niche' companies that lack a national network are not viable options for the vast majority of national accounts, and they will not ameliorate the anticompetitive effects of this merger," Jackson wrote.
Cigna intends to carefully review the opinion and evaluate its options in accordance with the merger agreement, it said in a statement. An Anthem spokeswoman declined to comment on the matter.