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Aetna Buys Coventry for $5.6 Billion to Add Government Plans
San Francisco Chronicle

Aetna Inc., the third-biggest U.S. health plan, agreed to buy Coventry Health Care Inc. for $5.6 billion, in the latest bid by an insurer to boost government business under President Barack Obama’s health overhaul. Aetna will pay $42.08 a share for Bethesda, Maryland-based Coventry, the best performer in New York trading among medical insurers this year. That represents a 20 percent premium over Coventry’s closing price of $34.94 on Aug. 17, which gave the company a market value of $4.68 billion.