June 26 (Reuters) - Home health and hospice caregiver Amedisys (AMED.O) on Monday agreed to a $3.3 billion sweetened cash offer from UnitedHealth Group (UNH.N) and scrapped an all-stock deal with Option Care Health (OPCH.O).
Meanwhile, Option Care said it was "disappointed" with the cancellation of the deal and will get $106 million from Amedisys as per its May agreement.
Option Care shares rose 3% in early trading, while those of Amedisys and UnitedHealth were largely flat.
Option Care investors had largely disapproved of its deal for Amedisys as they believed the company was capable of recording strong growth on its own.
Its shares had slumped 14% in May due to the Amedisys deal, but rose nearly 10% this month after UnitedHealth entered the race.
Persons:
Amedisys, UnitedHealth, William Blair, Matt Larew, Leroy Leo, Saumyadeb Chakrabarty, Arun Koyyur
Organizations:
UnitedHealth, Care, LHC, Amedisys, Thomson
Locations:
Amedisys, Bengaluru