Aetna's $34 Billion Humana Takeover Blocked By Judge As Anti-Competitive

A federal judge blocked Aetna Inc (NYSE: AET)’s acquisition of Humana Inc (NYSE: HUM) on antitrust grounds Monday morning, according to a Bloomberg News report. An Aetna spokesperson said the company is considering an appeal "after putting forward a compelling case."

The Department of Justice initially filed a lawsuit in July to prevent the $34-billion takeover. According to the department's analysis, the merger would have resulted in higher health insurance premiums, elevated taxes and reduction of consumer choice.

As news spread of the court ruling, Humana shares plunged 5 percent before rebounding. Aetna shares fell 3.4 percent and are trading down 2.6 percent.