On 3rd December,2017 CVS Health has declared about it acquiring Aetna making this one of the blockbuster deals and smartest combinations of the consumer health care industry.
It’s called one of the smartest and biggest purchase for the level of synergies of expertise that shall happen after the purchase.
This transaction shall merge the United States’ giant drug store and one of the biggest insurers building the nation’s consumer health care industry.
It is expected that this purchase will potentially reflect various industrial spheres.
“Today, increasing numbers of consumers are taking on more and more responsibility for paying for their health care as the burden of costs is being shifted to them,” the companies said in a statement. “Together, CVS Health and Aetna will be a trusted community partner who will help consumers better manage the cost of the health care they need.”
The respective deal was approved by both the parties through the Board of Directors.
This merger includes 9700 drugstores and 1100 walk in health care clinics operated by CVS as well as Aetna including 22 million medical members.
The deal was further finalised as follows:
- This merger includes 9700 drugstores and 1100 walk in health care clinics operated by CVS as well as Aetna.
- This includes 22 million medical members.
- CVS agreed to pay $207 a share for Aetna, with $145 in cash and the rest, $62, in CVS stock.
From consumers point of view this sets a practical and useful example of consolidation of the medical services including medical insurance as well as medical treatment under one shield.
CVS will include locations for:
- Wellness centres
- Pharmacy centres
- Nutrition centres
- Beauty centres such as plastic surgeries, dermo clinics etc.
- Vision and hearing centres
- Basic medical equipment’s
“We look forward to working with the talented people at Aetna to position the combined company as America’s front door to quality healthcare,” CVS Chief Executive Larry Merlo said in a statement.
CVS and Aetna together are trying to sweep the medical industry of the nation by provision to especially to those consumers and employees who find a difficulty in taking care of their health’s due to the factors of affordability.
Al though Governments always promises to provide good and cheap health care services to its citizens, but even the government is struggling and unable to cut down the rising medical costs, including the soaring price of prescription drugs.
On 3rd December 2017, the two companies highlighted their ability to transform CVS’s 10,000 pharmacy and clinic locations into community-based sites of care that would be far less expensive for patients.
“We think of it as creating a new front door to health care in America,” CVS Health’s chief executive, Larry J. Merlo, said in an interview.