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Bloomberg News

Healtheon/WebMD Corp., the biggest Internet company linking doctors, patients and insurers, said federal regulators want more information on its acquisition of rival CareInsite Inc. and its parent, Medical Manager Corp. The request was made in connection with an application by the companies for federal approval of the purchase under the Hart-Scott-Rodino Act, which requires a corporation to notify the Federal Trade Commission and the Justice Department if it plans to spend more than $15 million or buy 15% or more of another company. Healtheon, based in Atlanta, agreed in February to buy CareInsite and Medical Manager, an Elmwood Park, N.J.-based maker of software used to run doctors’ offices, for $5.4 billion in stock to eliminate its largest rival in providing doctors with online links to check insurance coverage, process claims, buy supplies, read medical studies and access lab reports. Healtheon shares have fallen 73% since the offer, and the transaction is now valued at about $1.5 billion. Healtheon shares fell 50 cents to $14.63 on Nasdaq. Medical Manager slid $1.06 to $22.06 and CareInsite fell $1.63 to $16.50, also on Nasdaq.

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