NEC members CVS Health and Aetna recently announced their intention to merge.
Rhode Island-based CVS Health purchased Hartford-based Aetna for approximately $69 billion, poising itself to reshape not only its own services, but the health care industry as well. With $177 billion and $63.3 billion in annual revenue respectively, CVS and Aetna are among the biggest players in their industries. With the acquisition of Aetna, CVS hopes to expand its offerings to both consumers and employers. Some of CVS’s over 9,000 retail stores may be transitioned to health care supermarkets that provide services such as on-site nurses and personalized medical attention. Their pharmacies may begin to oversee drug plans for businesses. In the merger, Aetna will continue to be led by its current management and would function as its own business within CVS.
CVS Health President and Chief Executive Officer Larry J. Merlo explained, “This combination brings together the expertise of two great companies to remake the consumer health care experience. With the analytics of Aetna and CVS Health’s human touch, we will create a health care platform built around individuals. We look forward to working with the talented people at Aetna to position the combined company as America’s front door to quality health care, integrating more closely the work of doctors, pharmacists, other health care professionals and health benefits companies to create a platform that is easier to use and less expensive for consumers.”
The New England Council congratulates CVS Health and Aetna on reaching a deal and wishes both much success in the future. Read more in the Boston Globe and CVS Health’s press release.