The Antitrust Week In Review

Here are some of the developments in antitrust news this past week that we found interesting and are following.

U.S. Court Blocks Anthem-Cigna Merger, Dealing Blow to Consolidation.  A federal judge on Wednesday ruled against U.S. health insurer Anthem’s proposed $54 billion merger with smaller rival Cigna, derailing an unprecedented effort to consolidate the country’s health insurance industry.  The U.S. Justice Department sued in July to stop Anthem’s purchase of Cigna, a deal that would have created the largest U.S. health insurer by membership, and Aetna’s planned $33 billion acquisition of Humana.  The merger would have worsened an already highly concentrated market and is likely to raise prices, Judge Amy Berman Jackson of the U.S. District Court for the District of Columbia said while issuing the ruling against Anthem’s deal.

Tyson Reveals SEC Subpoena, Likely Tied to Pricing Lawsuits.  Tyson Foods says it has been subpoenaed by federal regulators, likely related to an investigation in connection with allegations that the company and others colluded to fix poultry prices.  The Springdale, Arkansas-based meat producer said in a regulatory filing it received the subpoena Jan. 20 from the Securities and Exchange Commission.  It said it is cooperating with the investigation, which is in an “early stage.”

BT Supports Google’s Android in EU Antitrust Row.  BT has become the first major telecoms company to back Google in a battle with EU regulators, defending the “stability and compatibility” of the Android operating system, which is in the sights of antitrust regulators.  The EU says Google stifles competition by forcing smartphone makers to pre-install its search function and browser to access its other apps, such as Google Play, on Android.  EU regulators were already investigating the U.S. company over the promotion of its own shopping service in its search engine before they opened a second front last year.

Mylan Agreed to Pay $96.5 Mln in Provigil Antitrust Class Action.  Mylan has agreed to pay $96.5 million to settle claims by drug purchasers that it delayed launching a generic version of Cephalon’s narcolepsy drug Provigil in exchange for payment from Cephalon.  The settlement was disclosed in a filing by the drug purchasers in Pennsylvania federal court on Friday and must still be approved by the court.  The money will go to purchasers that bought brand-name Provigil from Cephalon directly, like wholesalers and distributors.