Canada Investigates Cigna's Express Scripts Unit for Anti-Competitive Practices

Canada's Competition Bureau has initiated an investigation into Cigna's subsidiary, Express Scripts Canada, over alleged anti-competitive practices that may hinder competition in the drug retail market. The bureau has secured a court order mandating Express Scripts to supply relevant records and testimony. Key concerns include 'patient steering,' where patients may be directed to use Express Scripts-associated pharmacies, and practices that potentially squeeze the profit margins of competitors. The Canadian Pharmacists Association, which lodged a complaint against Express Scripts in February 2024, welcomed the investigation as a vital step toward accountability in the pharmacy benefit management sector. While there is currently no conclusion of wrongdoing, the probe reflects ongoing scrutiny of Express Scripts, which operates the largest pharmacy benefit management service in Canada. Cigna's stock experienced a slight decline following the announcement, amid an overall bearish sentiment from retail investors.