ST. LOUIS and LOS ANGELES, March 23,
2016 /PRNewswire/ -- Centene Corporation (NYSE: CNC)
and Health Net, Inc. (NYSE: HNT) today announced the receipt of
approval of Centene's planned merger with Health Net from the
California Department of Insurance (CDI).
Centene and Health Net expect to close the transaction in the
coming days, subject to satisfaction or waiver of the closing
conditions.
Centene and Health Net announced a merger agreement in
July 2015 that would create a leading
diversified multi-national healthcare enterprise, extending
Centene's offerings in government programs, including Medicare
Advantage and programs offered through contracts with the U.S.
Department of Defense and U.S. Department of Veterans Affairs, as
well as the commercial exchanges.
About Centene
Centene Corporation, a Fortune 500
company, is a diversified, multi-national healthcare enterprise
that provides a portfolio of services to government sponsored
healthcare programs, focusing on under-insured and uninsured
individuals. Many receive benefits provided under Medicaid,
including the State Children's Health Insurance Program (CHIP), as
well as Aged, Blind or Disabled (ABD), Foster Care and Long Term Care (LTC), in
addition to other state-sponsored/hybrid programs, and Medicare.
Centene operates local health plans and offers a range of health
insurance solutions. It also contracts with other healthcare and
commercial organizations to provide specialty services including
behavioral health management, care management software,
correctional healthcare services, dental benefits management,
in-home health services, life and health management, managed
vision, pharmacy benefits management, specialty pharmacy and
telehealth services.
Centene uses its investor relations website to publish important
information about Centene, including information that may be deemed
material to investors. Financial and other information about
Centene is routinely posted and is accessible on Centene's investor
relations website, http://www.centene.com/investors.
About Health Net
Health Net, Inc. is a publicly
traded managed care organization that delivers managed health care
services through health plans and government-sponsored managed care
plans. Its mission is to help people be healthy, secure and
comfortable. Health Net provides and administers health benefits to
approximately 6.1 million individuals across the country through
group, individual, Medicare (including the Medicare prescription
drug benefit commonly referred to as "Part D"), Medicaid and dual
eligible programs, as well as programs with the U.S. Department of
Defense and U.S. Department of Veterans Affairs. Health Net also
offers behavioral health, substance abuse and employee assistance
programs, and managed health care products related to prescription
drugs.
For more information on Health Net, Inc., please visit Health
Net's website at www.healthnet.com.
Forward-Looking Statements
This material may contain
certain forward-looking statements with respect to the financial
condition, results of operations and business of Centene, Health
Net and the combined businesses of Centene and Health Net and
certain plans and objectives of Centene and Health Net with respect
thereto, including the expected benefits of the proposed merger.
These forward-looking statements can be identified by the fact that
they do not relate only to historical or current facts.
Forward-looking statements often use words such as "anticipate",
"target", "expect", "estimate", "intend", "plan", "goal",
"believe", "hope", "aim", "continue", "will", "may", "would",
"could" or "should" or other words of similar meaning or the
negative thereof. There are several factors which could cause
actual plans and results to differ materially from those expressed
or implied in forward-looking statements. Such factors include, but
are not limited to, the expected closing date of the transaction;
the possibility that the expected synergies and value creation from
the proposed merger will not be realized, or will not be realized
within the expected time period, including, but not limited to, as
a result of conditions, terms, obligations or restrictions imposed
by regulators in connection with their approval of, or consent to,
the merger; the risk that the businesses will not be integrated
successfully; disruption from the merger making it more difficult
to maintain business and operational relationships; the risk that
unexpected costs will be incurred; changes in economic conditions
or political conditions; changes in federal or state laws or
regulations, including the Patient Protection and Affordable Care
Act and the Health Care Education Affordability Reconciliation Act
and any regulations enacted thereunder; provider and state contract
changes; the outcome of pending legal or regulatory proceedings;
reduction in provider payments by governmental payors; the
expiration or termination of Centene's or Health Net's Medicare or
Medicaid managed care contracts with federal or state governments;
tax matters; increased health care costs; the possibility that the
merger does not close, including, but not limited to, due to the
failure to satisfy the closing conditions; and risks and
uncertainties discussed in the reports that Centene and Health Net
have filed with the Securities and Exchange Commission (the "SEC").
These forward-looking statements reflect Centene's and Health Net's
current views with respect to future events and are based on
numerous assumptions and assessments made by Centene and Health Net
in light of their experience and perception of historical trends,
current conditions, business strategies, operating environments,
future developments and other factors they believe appropriate. By
their nature, forward-looking statements involve known and unknown
risks and uncertainties because they relate to events and depend on
circumstances that will occur in the future. The factors described
in the context of such forward-looking statements in this
announcement could cause Centene's and Health Net's plans with
respect to the proposed merger, actual results, performance or
achievements, industry results and developments to differ
materially from those expressed in or implied by such
forward-looking statements. Although it is believed that the
expectations reflected in such forward-looking statements are
reasonable, no assurance can be given that such expectations will
prove to have been correct and persons reading this announcement
are therefore cautioned not to place undue reliance on these
forward-looking statements which speak only as of the date of this
announcement. Neither Centene nor Health Net assumes any obligation
to update the information contained in this announcement (whether
as a result of new information, future events or otherwise), except
as required by applicable law. These risks, as well as other risks
associated with the merger, are more fully discussed in the joint
proxy statement/prospectus that is included in the Registration
Statement on Form S-4 that has been filed with the SEC on
September 21, 2015, in connection
with the merger. A further list and description of risks and
uncertainties can be found in Centene's Annual Report on Form 10-K
for the fiscal year ended December 31,
2015, and in its reports on Form 10-Q and Form 8-K as well
as in Health Net's Annual Report on Form 10-K for the fiscal year
ended December 31, 2015.
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SOURCE Centene Corporation; Health Net, Inc.