UnitedHealth Group and Change Healthcare have completed a merger they initiated last year, the companies announced Monday.
The healthcare conglomerate and the technology company had agreed to wait 10 days to finalize the deal after a federal judge last month declined the Justice Department’s challenge to the merger over antitrust concerns. The Justice Department technically has 60 days after that ruling to submit an appeal, but now would face the challenge of breaking up the combined company.
UnitedHealth Group paid $7.8 billion in cash to acquire Change Healthcare and assumed $5 billion of the latter's debt.
The Justice Department and UnitedHealth Group did not immediately respond to interview requests. Change Healthcare declined to comment.
Judge Carl Nichols of the U.S. District Court for the District of Columbia ordered UnitedHealth Group to divest Change Healthcare’s claims editing software. Private equity group TPG Capital agreed to buy ClaimsXten for $2.2 billion in April.
Change Healthcare will be incorporated into UnitedHealth’s OptumInsight revenue cycle management arm and former Change Healthcare CEO Neil de Crescenzo IV will lead OptumInsight.
“The combination will connect and simplify the core clinical, administrative and payment processes healthcare providers and payers depend on to service patients,” Optum said in a news release.
