Highmark Sues West Penn After Collapse Of $475M Merger

Law360, New York (October 2, 2012, 9:03 PM EDT) -- Highmark Inc. hit West Penn Allegheny Health System Inc. with a suit Monday aimed at stopping WPAHS from holding acquisition discussions with other suitors, following Friday's cancellation of a pending $475 million merger deal between the companies.

The insurer sued WPAHS in Pennsylvania state court to enforce an exclusivity clause in their affiliation agreement following Friday's breakdown of merger discussions, after WPAHS said that Highmark had demanded it enter bankruptcy or Highmark wouldn't close the transaction. The unilateral cancellation of the merger by WPAHS was a...
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