Aetna To Sell Medicare Part D Drug Prescription Business To WellCare Health

(RTTNews) - Aetna Inc. (AET) Thursday said it reached a deal to sell Medicare Part D prescription business to a subsidiary of WellCare Health Plans Inc.

The company did not disclose any financial details of the deal. However, the transaction is contingent on regulatory approval from the regulators for CVS Health's $69 billion acquisition of Aetna.

The deal with the WellCare subsidiary will be effective at the end of this year, Aetna said in a regulatory filing, adding that "the purchase price is not material."

The business being sold had about 2.2 million members as of June 30, Aetna said in a filing with the Securities and Exchange Commission.

Earlier reports had suggested that the Justice Department identified some competition concerns surrounding the nearly $70 billion CVS-Aetna deal, and the companies will be required to sell off assets related to Medicare drug coverage to resolve those issues.

With the issue sorted out, CVS Health Corp. and Aetna can expect to receive formal antitrust approval very soon.