Anthem Plans to Acquire Trigon for $4 Billion

Health care company Anthem(ATH Quote) said it will acquire Trigon Healthcare(TGH Quote) for cash and stock worth about $4 billion.

Trigon's shareholders will receive $30 cash and 1.062 shares of Anthem in exchange for each share of Trigon common stock. In a press release, Anthem president and chief executive officer Larry Glasscock said the merger would "extend Anthem's presence into a very important new Southeast region." The deal is expected to close in 3 to 6 months, pending regulatory and shareholder approval.

The news of the merger comes as both companies reported first-quarter results above analyst estimates. ...