Insurer to buy benefits provider for $250 million

Friday, Aug. 20, 2004 | 9:19 a.m.

HARTFORD, Conn. -- Health-insurance giant Aetna Inc. today said it agreed to buy Strategic Resource Co., a privately held administrator of group benefits, for $250 million, in a move to expand its product offerings.

Under the deal, expected to close late this year, Hartford-based Aetna is also acquiring the insurance contracts administered by Strategic Resource's underwriter.

Strategic Resource, based in Columbia, S.C., has 320 employees and provides limited benefits to part-time and hourly workers at more than 700 employers.

Aetna insured 64,700 Las Vegas Valley residents at the end of the second quarter.

In morning trading, New York Stock Exchange-listed shares of Aetna rose 1.2 percent to $93.58.

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