Aetna-CVS Health Merger Complete
November 2018 ~
Following its recent approval from the New York’s Department of Financial Services, the $69 billion merger between CVS Health Corp. and Aetna closed Wednesday, November 28. The two organizations say that the merger will immediately improve health-care outcomes and reduce costs.
“Today marks the start of a new day in health care and a transformative moment for our company and our industry,” stated CVS Health President and Chief Executive Officer Larry J. Merlo in a press release. “By delivering the combined capabilities of our two leading organizations, we will transform the consumer health experience and build healthier communities through a new innovative health care model that is local, easier to use, less expensive and puts consumers at the center of their care.”
Merlo continued, “As the front door to quality health care, our combined company will have a community focus, engaging consumers with the care they need when and where they need it, will simplify a complicated system and will help people achieve better health at a lower cost. We are also leading change in health care by challenging the status quo with new technologies, business models and partnerships. In doing so, we will continue to deliver on our purpose of helping people on their path to better health.”
CVS states that it has already started the process of laying foundational pieces of its new health care model in place and, in the coming months, will introduce new programs and services designed to increase access to care, improve health outcomes and reduce medical costs for all consumers.
“By fully integrating Aetna’s medical information and analytics with CVS Health’s pharmacy data, we can develop new ways to engage consumers in their total health and wellness through personal contacts and deeper collaboration with their primary care physicians,” Merlo said. “As a result, we expect patients will benefit from earlier interventions and better-connected care, leading to improved health outcomes and lower medical costs.”
The merger combines CVS’ pharmacies with Aetna’s insurance business. The final deal valued Aetna at $212 per share, CVS said in the release, or about $70 billion, up from the previously agreed upon $207 per share, or roughly $69 billion.
Source(s): CVS Health; Modern Healthcare; HealthPayerIntelligence; HealthLeaders Media;