Change Healthcare Sinks on Report DOJ Looking to Block Deal (1)

(Updates to add shares, analyst commentary.)

Change Healthcare drops 6.7% in Wednesday’s premarket session after The Information reported that the Department of Justice is weighing a possible lawsuit to block UnitedHealth’s $8b purchase of Change Healthcare.

• The DOJ has in recent weeks reached out to private attorneys outside the department about possibly leading litigation to block the deal, the report said, citing people familiar
• The DOJ frequently considers litigation to block mergers and doesn’t always proceed, The Information said
• A DOJ spokesperson declined to comment, The Information said; UnitedHealth spokesperson Gwen Holliday did not have a comment on the status ...