Moody's could lift Amerigroup

Moody's Investors Service said it placed the Ba2 senior debt rating and Ba2 corporate family rating of Amerigroup Corp. under review for upgrade following the announcement that WellPoint, Inc. entered into a definitive agreement to acquire Amerigroup.

The Baa2 insurance financial strength rating of Amerigroup's operating subsidiaries have also been placed under review for upgrade.

Moody's said it anticipates that WellPoint will assume and guarantee Amerigroup's 7½% senior notes upon the close of the transaction. The transaction, which is subject to regulatory approval, is expected to close in the first quarter of 2013.

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