Caremark Merger Update

Reuters reports that CVS filed a registration statement today with the Securities and Exchange Commission concerning its proposed acquisition of Caremark (which is available on the SEC’s EDGAR system). According to Reuters, “there is a $675 million breakup fee if either it or Caremark terminates the deal under certain circumstances.”

Meanwhile the stock market continues to respond favorably to Express Script’s higher offer for Caremark, pushing Express Script’s stock price up 3.3% today. According to analysts predict that the debt load associated with Express Script’s leverage buyout proposal is “manageable.” Time will tell.