Aetna calls five note series at 101, scraps merger plans with Humana

By Susanna Moon

Chicago, Feb. 14 – Aetna Inc. called five series of notes related to the termination of its merger plans with Humana.

Aetna will redeem the following notes issued in June at a special mandatory redemption price of 101% of par in cash on March 16, according to a company notice:

• $1.65 billion principal amount outstanding of 1.9% senior notes due June 7, 2019;

• $1.85 billion principal amount outstanding of 2.4% senior notes due June 15, 2021;

• $2.8 billion principal amount outstanding of 3.2% senior notes due June 15, 2026;

• $1.5 billion principal amount outstanding of 4.25% senior notes due June 15, 2036; and

• $2.4 billion principal amount outstanding of 4.375% senior notes due June 15, 2046.

Holders also will receive accrued interest to but excluding the redemption date.

Aetna said it expects to fund the redemption with proceeds of its senior notes issued in June.

The trustee is U.S. Bank NA (800 934-6802).

Aetna and Humana “mutually ended their merger agreement following a ruling from the U.S. District Court for the District of Columbia granting a United States Department of Justice request to enjoin the merger,” according to a company statement.

Aetna is a health care benefits company based in Hartford, Conn. Humana is a health care and insurance company based in Louisville, Ky.

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