WellPoint to buy Amerigroup

WellPoint Inc., the second-biggest U.S. health insurer, will buy Amerigroup Corp. for $4.9 billion, a move that may spur a wave of acquisitions as companies compete to manage an expanding Medicaid market. Amerigroup stockholders will receive $92 a share in cash, 43 percent more than the July 6 closing price, according to Monday's statement by the two companies. The agreement makes Indianapolis-based WellPoint the biggest private provider of Medicaid coverage for the poor with 4.5 million members, eclipsing the 3.5 million patients served by UnitedHealth Group.

Staples office supply stores will sell the Nexus 7, a computer tablet that Google designed to compete with the Kindle Fire and the iPad. Monday's announcement makes Staples Inc. the second major retailer to embrace the Nexus 7 since Google unveiled the device last month. Video game retailer GameStop Corp. also plans to stock the Nexus 7 in its U.S. stores. Other merchants are expected to agree to add the Nexus 7 to their store shelves when the tablet ships later this month. The Nexus 7 will sell for $199 in an 8-gigabyte model and $249 in a 16-gigabyte model.

Campbell Soup Co., the world's biggest soup maker, is looking to court a new generation of consumers with baby carrots, premium juices and refrigerated salad dressings. The company, based in Camden, N.J., said Monday that it will buy natural foods maker Bolthouse Farms in a $1.55 billion cash deal from private equity firm Madison Dearborn Partners LLC. Campbell says Bolthouse's line of juices and carrots will help it feed Americans' growing appetite for fresher foods.

Palo Alto Networks Inc. and Kayak Software Corp. led companies that announced plans Monday to raise almost half a billion dollars in initial public offerings, a sign that the market is recovering from a monthlong drought following Facebook Inc.'s disappointing debut. Palo Alto Networks is seeking to raise as much as $229 million, while Kayak aims to raise as much as $87.5 million, according to regulatory filings Monday.

WellPoint to buy Amerigroup 07/09/12 [Last modified: Monday, July 9, 2012 9:06pm]

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