Leading Independent Proxy Advisory Firm ISS Recommends Cigna Shareholders Vote “For” Acquisition Of Express ScriptsBusiness Wire
Cigna Reminds Shareholders to Vote “FOR” the Transformative Combination Today
BLOOMFIELD, Conn.–(BUSINESS WIRE)–Cigna Corporation (NYSE: CI) (“Cigna” or the “Company”) announced that leading independent corporate governance and proxy advisory firm Institutional Shareholder Services (“ISS”) has concluded its analysis and today issued a recommendation that Cigna shareholders vote to approve the proposed acquisition of Express Scripts (NASDAQ: ESRX) at the Company’s upcoming special meeting scheduled for August 24, 2018.
“We are pleased with the recommendation of ISS that Cigna shareholders support the recommendation of our Board and vote in favor of our merger with Express Scripts,” said David M. Cordani, Cigna President and Chief Executive Officer. “The recommendation of ISS aligns with our strong belief that Cigna's combination with Express Scripts will drive value for customers, clients and physician partners and, as a result, deliver outstanding value to our shareholders in the form of strong EPS accretion, significant free cash flow generation and exceptional financial flexibility.”
As support for its favorable recommendation, ISS noted the following:
- “…[T]he proposed merger is a financially compelling transaction that gives the combined company immediate scale with strong cash flow generation.”
- “The acquisition should be significantly accretive to Cigna's EPS, delivering mid-teens accretion in the first full year after it closes.”
- “The expected synergies of $600 million also seem conservative…”
- “[M]anagement's ability to appropriately diligence the ESRX business was likely bolstered by the fact that Cigna currently operates its own PBM business.”
- “Considering these factors, and primarily the sound strategic rationale that has been laid out by a credible management team, shareholders are recommended to vote FOR this transaction.”
The Cigna board of directors recommends that Cigna shareholders vote “FOR” the proposal to adopt the merger agreement at the special meeting.
Cigna's special meeting of shareholders is scheduled to take place on Friday, August 24, 2018, at 9:30 a.m., Eastern Time. Cigna shareholders of record at the close of business on July 10, 2018 will be entitled to vote at the special meeting.
If shareholders have questions about the transaction, or need assistance in voting shares, please contact Cigna’s proxy solicitor, Innisfree M&A Incorporated: toll-free at (877) 750-9498. Additional materials addressing the Express Scripts transaction, including more information on the strong strategic rationale and expected financial results, are available on Cigna and Express Scripts’ joint transaction website: http://www.advancinghealthcare.com.
Cigna Corporation (NYSE: CI) is a global health service company dedicated to helping people improve their health, well-being and sense of security. All products and services are provided exclusively by or through operating subsidiaries of Cigna Corporation, including Cigna Health and Life Insurance Company, Connecticut General Life Insurance Company, Life Insurance Company of North America, Cigna Life Insurance Company of New York, or their affiliates. Such products and services include an integrated suite of health services, such as medical, dental, behavioral health, pharmacy, vision, supplemental benefits, and other related products including group life, accident and disability insurance. Cigna maintains sales capability in over 30 countries and jurisdictions, and has more than 95 million customer relationships throughout the world. To learn more about Cigna®, including links to follow us on Facebook or Twitter, visit www.cigna.com. For more information about Cigna's proposed acquisition of Express Scripts, please visit www.advancinghealthcare.com.