(Sharecast News) - Healthcare software developer Emis Group tumbled on Friday after the Competition and Markets Authority said it was launching an in-depth investigation into its £1.24bn proposed takeover by UnitedHealth Group.
The CMA launched an initial investigation into the deal in January and found that it could reduce competition, leading to worse outcomes for the NHS, patients and ultimately taxpayers.
In order to address the watchdog's concerns, UnitedHealth put forward a proposal to sell its Optum Medicines Optimisation and Population Health Management businesses in the UK. However, the CMA has rejected the proposals.
Emis said in a statement: "Bidco and Emis are disappointed with the CMA's decision and continue to believe that the proposed remedy directly addresses the competition concerns raised by the CMA following its Phase 1 investigation.
"Optum UK and Emis are currently considering their options and will provide a further update with regards to the acquisition in due course."
At 1130 BST, Emis shares were down 24% at 1,382p.
