According to foreign media reports, CVS Health, the second-largest drugstore chain operator in the United States, is in talks to acquire insurance giant Aetna in a deal that could be worth as much as $66 billion.
The Wall Street Journal reported the news before the close of U.S. stocks on Thursday. Boosted by the news, Aetna's share price surged 12%, while CVS shares fell nearly 3%. Both companies said they declined to comment on market "rumors."
If this merger is approved and eventually completed, it will reshape the landscape of the U.S. health insurance industry. CVS is the largest prescription drug retailer and the second-largest pharmacy benefit manager in the United States, controlling a huge chain of drugstores and a pharmacy benefit management system, while Aetna is one of the largest insurers in the United States.
However, mergers and acquisitions involving health insurance companies have repeatedly been blocked in recent years. In 2015, Aetna and Humana announced a $34 billion merger deal, while Anthem announced it would acquire Cigna for $54 billion—but both deals were halted by regulators and rejected by a U.S. federal court in February this year.
Source: Sina 2017-10-27
