CVS to split $117 billion pharmacy and insurance unit
· Business · Reuters
CVS will separate its $117 billion pharmacy and insurance business into a new company, CVS Health, while retaining its pharmacy services under CVS Pharmacy. The move aims to simplify operations and improve focus on core healthcare services. Shares of CVS fell 3.5% in early trading following the announcement. The separation is expected to be completed by the end of 2024. CVS Health will manage the insurance and pharmacy benefit management (PBM) operations while CVS Pharmacy continues to operate retail and clinical services.
Why it matters
Indian healthcare providers and insurers will face a more focused competitor, potentially reshaping drug pricing and insurance coverage dynamics in the market.
Read the original report — Reuters
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