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Antitrust Scrutiny

All articles tagged with #antitrust scrutiny

technology1 year ago

"Microsoft's Strategic Moves in AI: Inflection Acquisition and Leadership Changes"

Microsoft's surprising move to hire the cofounders and some staff of $4 billion AI startup Inflection, without acquiring the company or taking an equity stake, has raised questions about its implications for the AI market and its relationship with OpenAI. The deal comes amid intense antitrust scrutiny of Big Tech's AI partnerships, and signals Microsoft's determination to diversify its AI expertise. Inflection's shift away from its consumer chatbot Pi may indicate a reality check for the AI chatbot market, while the involvement of Inflection cofounder Reid Hoffman, who also sits on Microsoft's board, adds another layer of complexity to the arrangement.

via Yahoo Finance|
#ai#antitrust-scrutiny#inflection
business1 year ago

"Capital One's $35.3 Billion Acquisition of Discover Financial Services"

Capital One plans to acquire Discover Financial Services in a $35.3 billion all-stock deal, creating a global payments giant and forming the sixth-largest U.S. bank by assets. The acquisition is expected to face intense antitrust scrutiny and would result in Capital One shareholders owning 60% of the combined company. The deal comes at a time of increased regulatory focus on credit card fees and bank mergers, with potential implications for competition in the credit card market.

via Reuters|
#acquisition#antitrust-scrutiny#business
business2 years ago

Cigna Drops Humana Acquisition, Announces $10 Billion Share Buyback

U.S. health insurer Cigna has abandoned its pursuit of acquiring Humana due to failure to agree on price, but there remains the possibility of a future tie-up. Cigna plans to focus on smaller acquisitions and announced a $10 billion share buyback. The deal, which could have exceeded $60 billion, would have given the combined company more scale to compete with UnitedHealth Group and CVS Health. Cigna and Humana currently have business overlap in Medicare plans, with Humana's Medicare business being larger and more profitable. Cigna's exploration of selling its Medicare Advantage operations could boost the chances of a combination with Humana surviving antitrust challenges.

via Yahoo Finance|
#acquisition#antitrust-scrutiny#business
business2 years ago

"Unveiling Project 'Triggerfish': Alaska Airlines' $1.9 Billion Acquisition of Hawaiian Airlines"

Alaska Air Group Inc. CEO Ben Minicucci has announced the $1.9 billion acquisition of Hawaiian Holdings Inc., a deal codenamed "Triggerfish." Despite facing tough antitrust scrutiny and a drop in Alaska's stock price, Minicucci is determined to grow Alaska Air and is willing to engage in a "street fight" if necessary. Minicucci conducted most of the negotiations in person in Honolulu, charming Hawaiian CEO Peter Ingram and his team. However, the deal's reduced purchase price was not warmly received by Hawaiian. The market is concerned about regulatory approval, and traders anticipate a lengthy review process and regulatory pushback. Minicucci aims to learn from Hawaiian's long-haul fleet to enhance the in-flight experience on Alaska Air.

via Fortune|
#acquisition#airline-industry#alaska-airlines
business2 years ago

Health Insurers Humana and Cigna in Talks for Blockbuster Merger

U.S. health insurer Cigna is reportedly in talks to merge with peer Humana in a deal that could exceed $60 billion in value. The potential merger, if finalized, would attract intense antitrust scrutiny. Cigna and Humana currently have limited business overlap, with their focus primarily on Medicare plans for older Americans. A merger would give the combined company more scale to compete with larger health insurance players like UnitedHealth Group and CVS Health. However, limited synergies between the two companies and concerns about overpayment and debt have led to investor skepticism. Cigna's shares fell 8.1% and Humana's shares dropped 5.5% following the news.

via Reuters|
#antitrust-scrutiny#business#cigna
business2 years ago

Cigna and Humana in Talks for Potential Blockbuster Merger

Health insurer Cigna, based in Bloomfield, Connecticut, is reportedly in talks for a potential merger with rival Humana. The merger could position the combined company as a stronger competitor against industry giants like UnitedHealth Group and CVS Health Corp. The impact on jobs in Connecticut is uncertain, and experts suggest that the merger may face antitrust scrutiny. Cigna had previously considered a merger with Humana in 2015, but the deal fell through.

via Hartford Courant|
#antitrust-scrutiny#business#cigna
business2 years ago

Cigna and Humana in Talks for Potential Merger

Cigna Group and Humana Inc. are reportedly in discussions to merge, potentially creating one of the largest health insurers in the US. However, both companies' shares dropped as investors expressed concerns about the highly consolidated industry and potential antitrust scrutiny from the Biden administration. While there are strategic reasons for the merger, such as Cigna's ownership of Express Scripts and Humana's strong position in private Medicare Advantage plans, previous attempts at industry mega-mergers have been blocked by regulators. The deal's success is uncertain, and if it were to proceed, it would likely face a lengthy antitrust review.

via Yahoo Finance|
#antitrust-scrutiny#business#cigna
business2 years ago

Amazon slashes iRobot deal price by 15% amid mounting debt

Amazon has reduced the price it will pay for iRobot by approximately 15% to around $1.42 billion due to iRobot incurring fresh debt. Under the amended deal, Amazon will pay $51.75 in cash for each share of iRobot, compared to the original price of $61.00. The price change is offset by iRobot's increase in net debt after securing a $200 million financing facility. The deal is currently under antitrust scrutiny in Europe, with the European Commission set to decide by December 13 whether to clear or block it.

via Reuters|
#amazon#antitrust-scrutiny#business
healthcare2 years ago

The Rise of Private Equity in Physician Practices: Impact on Prices

Private equity firms are rapidly acquiring physician practices, consolidating a significant share of the market and leading to price increases in various medical specialties, according to a study. The research found that private equity acquisitions were associated with price hikes in eight out of ten specialties, particularly in metropolitan areas where a single private equity firm controlled over 30% of the market. Prices for gastroenterologists rose by 14%, oncologists by 16%, and ophthalmologists by 9%. The study authors called for closer examination of the effects of private equity investments in medical groups, as most acquisitions occurred without federal antitrust scrutiny.

via The Washington Post|
#antitrust-scrutiny#healthcare#market-consolidation
politics2 years ago

"PGA Tour's Saudi Deal Investigated by Senate and Raises Questions of Collaboration"

The PGA Tour's "framework agreement" with the Saudi-backed LIV Golf league is under investigation by the Senate Permanent Subcommittee on Investigations, led by Sen. Richard Blumenthal. The deal would give the Saudis an ownership stake in the sport and economic legitimacy. The agreement has a long way to go, including approval from tour players and antitrust scrutiny. Blumenthal has requested records and communications from both groups relating to the dispute and the proposed agreement since October 2021. The PGA Tour assured that all was above-board, but did not respond to a question about whether they would comply with Blumenthal's records request.

via Slate|
#antitrust-scrutiny#golf#pga-tour
business2 years ago

"Meta's Financial Future: Wall Street, Layoffs, and Efficiency Strategy"

Meta is repurchasing $40 billion worth of stock from investors to prop up its share price, as its business and revenue growth stumble. Analysts say the FTC will likely prevent it from making major acquisitions, so this is a better use of the money. The moves to appease Wall Street might be well-timed, given the way that Wall Street has pressured Meta to cut costs, including via its major layoffs of the last several months.

via Business Insider|
#acquisitions#antitrust-scrutiny#business