CVS/SAetna The acquisitionof Aetna would combine CVS's drugstores and pharmacy-benefitsmanagement unit with the third-biggest U.S. healthinsurer.

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Two major health-care deals that stand to reshape the insurance and pharmacy industriesare moving toward winning antitrust approval, according to a personfamiliar with the matter, a final step as the takeovers head towardcompletion.

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The U.S. Department of Justice is on track to soon approve theacquisition of pharmacy-benefit manager ExpressScripts Holding Co. by health insurer Cigna Corp., as well asCVS Health Corp.'s takeover of insurer Aetna Inc., said theperson, who asked not to be identified because the process isprivate.

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Related: What the CVS/Aetna merger means for healthcare

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CVS and Aetna are in talks with the Justice Department aboutdivesting Medicare prescription drug plans to resolve thegovernment's concerns the deal will otherwise harm competition. TheCigna-Express Scripts deal may not require any divestitures, saidthe person.

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“We continue to constructively work with the Department ofJustice and remain confident the deal will close by the end of theyear,” said Brian Henry, a spokesman for Express Scripts.

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Representatives for the Justice Department, CVS and Aetnadeclined to comment. A Cigna spokesman didn't return requests forcomment.

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Aetna shares were up 1.3 percent to $201.93 at the close in NewYork Wednesday, while CVS gained 1.2 percent to $74.89. ExpressScripts rose 3.3 percent to $89.83, and Cigna fell 0.6 percent to$184.93.

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CVS announced its $68 billion deal for Aetna late last year. Thedeal would combine CVS's drugstores and pharmacy-benefitsmanagement unit with the third-biggest U.S. health insurer. Cignaannounced its $54 billion deal for Express Scripts in March.

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Both deals are vertical transactions, meaning they joincompanies that operate at different levels of the supply chain.Bloomberg reported in August that antitrust regulators didn't findvertical-competition concerns in evaluating the CVS-Aetna deal.

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The Wall Street Journal reported on the approval process earlierWednesday.

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Copyright 2018 Bloomberg. All rightsreserved. This material may not be published, broadcast, rewritten,or redistributed.

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