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January 14, 2002 at 07:00 PM
NU Online News Service, Jan. 14, 4:56 p.m. – Blue Cross and Blue Shield of Kansas, Topeka, Kan., says its policyholders have approved a proposed acquisition by Anthem Inc., Indianapolis, by a vote of 63,504 policyholders for to 36,618 policyholders against.
Kansas Blue says 58% of eligible policyholders participated.
Only 63% of the voting policyholders favored the deal, but Kansas Blue says a simple majority is enough for the deal to gain approval under Kansas law.
Anthem is a for-profit, publicly traded, shareholder-owned corporation, but Kansas Blue is a nonprofit company that holds its assets in trust for the people of Kansas.
Kansas Blue and Anthem have agreed to pay out $321 million if the deal is completed, to compensate the public for conversion of nonprofit assets to for-profit use, but some critics in Kansas say Kansas Blue should the price should be higher, according to local press reports.
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