Insurer Aetna to spend $202M on PayFlex Holdings

HARTFORD, Conn. (AP) — Health insurer Aetna Inc. said Monday it will spend about $202 million to buy the account-based health plan administrator PayFlex Holdings Inc.

PayFlex provides administration services for plan sponsors that offer products like health savings, health reimbursement or flexible spending accounts. It also offers direct billing services for COBRA, the federal program that provides health insurance benefits for the unemployed.

Aetna Chairman and CEO Mark Bertolini said in a statement the deal boosts Aetna's ability to offer tools that help manage health care expenses.

PayFlex is based in Omaha, Neb., and employs about 423 people.

Aetna, based in Hartford, Conn., expects the deal to close in the second half of this year and be neutral to earnings this year and next.

Shares of the company fell 62 cents to $42.74 in morning trading.