Why Teladoc and Livongo Stocks Plunged Today

Shares of Teladoc Health (NYSE: TDOC) and Livongo Health (NASDAQ: LVGO) fell sharply on Wednesday, after the two tech-focused healthcare companies announced their plans for a merger. By the close of trading, Teladoc and Livongo's stocks were down 19% and 11.4%, respectively. 

Under the terms of the deal, Livongo's shareholders will receive 0.592 shares of Teladoc plus $11.33 in cash for each Livongo share they own. As of Aug. 4, the deal valued Livongo at $18.5 billion.

Teladoc and Livongo's stocks fell on news of a potential merger. Image source: Getty Images.

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Source Fool.com