Cardinal Health To Pay $26.8 Million To Settle FTC Drug Inflation Charges

The Wall Street Journal: Cardinal Health To Pay $26.8 Million To Settle Allegations It Inflated Prices
Cardinal Health Inc. agreed to pay $26.8 million to settle U.S. accusations that the drug distributor inflated the prices for radiopharmaceutical drugs used to diagnose illnesses such as heart disease. Cardinal Health said that as part of the settlement, it didn’t admit or deny any wrongdoing and that it doesn’t believe it violated the law. According to the company, it voluntarily agreed to the settlement to avoid the costs and inherent unpredictability associated with litigation. (Stynes, 4/20)

The Associated Press: Cardinal Health Paying $26.8M In FTC Settlement
Cardinal Health will pay $26.8 million as part of a settlement with the Federal Trade Commission over charges it monopolized the sale in 25 markets of diagnostic drugs known as low-energy radiopharmaceuticals. The charges allege that the pharmaceutical and medical-products distributor forced hospitals and clinics to pay inflated prices for the drugs, used to diagnose a range of conditions, including heart disease. (4/20)

Modern Healthcare: Cardinal To Pay $26.8M For Alleged Monopolization Of Radiopharmaceuticals
Cardinal Health has agreed to pay $26.8 million as part of a settlement with the Federal Trade Commission that sparked disagreement among the commissioners about the agency's appropriate role. The settlement resolves allegations that Cardinal illegally monopolized the sale of low-energy radiopharmaceuticals in 25 markets. The settlement announced Monday is the second-largest in FTC antitrust history. (Schencker, 4/20)

The Wall Street Journal's Pharmalot: How Much?! Teva Agrees To Pay $512M To Settle A Pay-To-Delay Case
In what attorneys are calling the largest such settlement of its kind, Teva Pharmaceutical agreed to pay $512 million to resolve allegations that Cephalon, a brand-name drug maker it purchased four years ago, used anti-competitive tactics to delay entry of generic versions of the Provigil narcolepsy pill. (Silverman, 4/20)

A health insurance start-up joins the rare group of "unicorns" -

The New York Times' DealBook: Oscar, A Health Insurance Start-Up, Valued At $1.5 Billion
Sixteen months after going live, the insurance company Oscar has joined the elite group of start-ups known as unicorns, or those with billion-dollar valuations. The company plans to announce on Monday that it has raised $145 million from a group led by the billionaire Peter Thiel and his Founders Fund venture capital firm. Other investors in the round included the Hong Kong billionaire Li Ka-shing’s Horizon Ventures, the Wellington Management Company and Goldman Sachs. (de la Merced, 4/20)

News outlets also offer financial status checks on the health care sector -

Marketplace: Why Health Stocks Are Doing So Well
It’s a great time to own health stocks. In fact, over the past five years, the sector has outperformed most other industries. What’s driving the surge? Wunderlich Securities analyst Art Hogan says it’s easy as saying "ACA." (Gorenstein, 4/20)

Modern Healthcare: Higher Medical, Drug Costs Could Slow Down Insurers' Profit Run
Rising medical and prescription drug costs could crimp the health insurance industry's strong revenue and profit growth. The Altarum Institute's Center for Sustainable Health Spending estimated that spending on hospital care jumped 9% from February 2014 to February 2015. That's a “giant” increase, said Paul Hughes-Cromwick, a senior health economist at Altarum. By contrast, hospital spending climbed only 3.1% from February 2013 to February 2014. (Herman and Evans, 4/20)