West Penn, Highmark Cancel $475M Deal Amid Antitrust Feud

Law360, Philadelphia (September 28, 2012, 3:23 PM EDT) -- Pittsburgh-based West Penn Allegheny Health System Inc. is canceling its pending $475 million merger with insurer Highmark Inc. that was aimed at creating an integrated delivery network in western Pennsylvania, the company announced Friday.

The deal, which was subject to approval by the Pennsylvania Insurance Department and was hit with antitrust litigation by the University of Pittsburgh Medical Center, broke down because Highmark demanded that it would not close the transaction unless West Penn enters bankruptcy, according to West Penn.

The health system noted that it...
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