Nov 3 (Reuters) – CVS Health is considering a breakup of its healthcare empire that could separate its retail pharmacy chain from its insurance business, the Financial Times reported on Tuesday, citing people familiar with the matter.
A separation would mark a significant reversal of CVS’ strategy of building an integrated healthcare business through acquisitions, including its roughly $78 billion purchase of health insurer Aetna in 2018.
Shares of the company, set to report third-quarter results on Wednesday, were up 1.2% in extended trading.
CVS Health did not immediately respond to a Reuters request for comment.
The discussions are at an early stage and no final decision has been made, the FT said.
Under the plans being considered, CVS could spin off its retail pharmacy business into a separately listed company, according to the report.
The report added Aetna and pharmacy benefit manager Caremark would remain together under one corporate entity.
The potential shakeup comes as pharmacy benefit managers face growing political and regulatory scrutiny over their role in the US drug supply chain, turning the spotlight on healthcare companies that combine insurance, drug-benefit management and pharmacy operations.
The company reported record revenue of $402.1 billion in 2025, up 7.8% from the prior year.
(Reporting by Siddhi Mahatole in Bengaluru; Editing by Sriraj Kalluvila)
Comments