Briefly UnitedHealth to buy LHC Group for $5.4B[…]

UnitedHealth to buy LHC Group for $5.4B

UnitedHealth Group will spend $5.4 billion to acquire LHC Group and delve deeper into home health, an area of care expected to grow as baby boomers age.

The health care giant said Tuesday that it will pay $170 in cash for each share of LHC’s stock in a deal expected to close later this year.

UnitedHealth, which runs the nation’s largest health insurer, will add LHC Group Inc. to its Optum Health business, which operates primary care clinics and surgery centers around the country.

The deal represents “a nice strategic fit” for Optum, given the growth potential in home health care and UnitedHealth’s Medicare Advantage coverage, Mizuho Securities USA analyst Ann Hynes said in a research note.

Medicare Advantage plans are privately run versions of government-funded Medicare coverage for people who are 65 or older or those who have certain severe disabilities.

LHC Group provides in-home health care to patients dealing with injuries, illnesses or chronic conditions. The Lafayette, Louisiana, company has 964 locations in 37 states.

It provides nurses and home health aides who care out doctor treatment plans and therapists who offer physical, occupational and speech therapy. LHC also provides end-of-life hospice care through 170 locations.

FTC sues Intuit to stop misleading TurboTax ads

The Federal Trade Commission is suing TurboTax maker Intuit, saying its ads for free tax filing misled consumers.

The consumer protection agency said Tuesday that millions of consumers cannot actually use the free tax-prep software option, or about two-thirds of tax filers in 2020. They are ineligible, the agency says, if they are gig workers or earn farm income, for example.

“TurboTax is bombarding consumers with ads for free tax filing services, and then hitting them with charges when it’s time to file,” said Samuel Levine, director of the Bureau of Consumer Protection, in a statement. “We are asking a court to immediately halt this bait-and-switch, and to protect taxpayers at the peak of filing season.”

Intuit, based in Mountain View, did not immediately reply to a request for comment.

The agency said Intuit has for years focused on the word “free” in its ads, running them during major events like the Super Bowl. The FTC has asked a federal judge to order Intuit to stop what it said were Intuit’s deceptive ads during the rush of tax season. This year’s tax filing deadline is April 18.

The FTC voted 3-1 in favor of filing the suit. The FTC complaint was filed Monday in U.S. District Court in Northern California.

Data company Nielsen to be acquired for $16B

Nielsen is being acquired for $16 billion, including debt, about a week after the media measurement company rejected a smaller offer earlier this month.

Viewing data collected by Nielsen plays a big role in determining where billions in advertising dollars are spent each year. The company has annual global revenue of about $3.5 billion.

A group of private equity investors led by Evergreen Coast Capital Corp., an affiliate of Elliott Investment Management L.P., and Brookfield Business Partners L.P., along with institutional partners will pay $28 for each outstanding Nielsen share.

Brookfield Business Partners will invest approximately $2.65 billion via preferred equity, convertible into 45% of Nielsen’s common equity. The equity version of the deal is worth just more than $10 billion in cash with the remainder in debt held by Nielsen.

Brookfield said Tuesday that it anticipates investing approximately $600 million, with the remaining balance funded from institutional partners.

Nielsen Holdings Plc, based in New York City, turned down the group’s previous offer, saying it had significantly undervalued the business. That offer was worth $25.40 per share, or about $9 billion before the assumption of debt. After it accepted the revised over, shares of Nielsen jumped 22% at the opening bell.

— From wire reports