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CVS makes $66 bln bid for Aetna

Friday, October 27, 2017 - 01:09

U.S. pharmacy operator CVS Health Corp has made an offer to buy No. 3 U.S. health insurer Aetna for $66 billion. Julia Sun reports.

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CVS is ready to shell out over $66 billion for Aetna, sources told Reuters. That's more than $200 per share. A tie-up with Aetna could give CVS more leverage in price negotiations with drug makers. But it would also get more antitrust scrutiny. The deal could also help counter pressure on CVS's stock following speculation that Amazon is getting ready to sell perscription drugs. Both stocks got a lift on the news, but dropped a day later. Jane Barratt, founder & CEO of GoldBean. (SOUNDBITE) JANE BARRATT, FOUNDER & CEO, GOLDBEAN (ENGLISH) SAYING: "From a backwards integration perspective, it's very, very clever. Whether it will actually go through is another story. But ,given the news, again, back to Amazon but Amazon looking to get into the pharmacy business this is protection somewhat against those sort of moves." A deal is not expected for a few weeks. Aetna and CVS declined to comment.

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CVS makes $66 bln bid for Aetna

Friday, October 27, 2017 - 01:09