NU Online News Service, Oct. 2, 2:55 p.m. – Anthem Insurance Companies Inc., Indianapolis, says it may sell more securities than it had originally expected when it demutualizes.

The policyholder-owned health insurer filed a plan with Indiana insurance regulators in June that calls for converting the company to a stock charter.

Anthem, one of the biggest health insurers in the United States, said it would change charters; compensate the policyholder-owners for their loss of policy-based ownership by giving them the full, pre-conversion value of the company in cash, stock and policy credits; then raise cash by selling 29 million shares of common stock to the public.

Now, Anthem says it still expects to raise between $944 million and $1.1 billion by selling 29 million shares of common stock to the public for an estimated price of $33 to $37 per share.

But Anthem says it may also offer up to $230 million in “equity security units” along with the stock sold through the initial public offering, because of “the current unpredictable and volatile market conditions.”

The equity security offering could affect the share of the post-conversion value of the company that the current policyholder control after the IPO.

Anthem has the authority to offer the equity security units under the plan filed with Indiana regulators, because the plan notes that Anthem might sell equity security units as well as common stock, Anthem says.

The demutualization is subject to approval by the 1 million Anthem policyholder-owners eligible to vote on the conversion.

Anthem has scheduled a special member meeting Oct. 29. Policyholders can vote on the conversion by mail, or by attending the meeting.

More information is available from Anthem’s Web site, at http://www.anthem.com