by: Jayson Derrick, Benzinga Staff Writer
What You Need To Know
CVS will acquire Aetna in a deal worth approximately $69 billion ($77 billion including Aetna's debt), or $207 per share. As part of the agreement, CVS will pay Aetna shareholders $145 for each Aetna share in addition to 0.8378 CVS Health shares.
Why It's Important
The merger fills an "unmet need in the current health care system and presents a unique opportunity to redefine access to high-quality care in lower cost, local settings — whether in the community, at home, or through digital tools," the companies said in the press release.
CVS Health's CEO Larry Merlo and Aetna's chairman and CEO Mark Bertolini explained their merger during CNBC's "Squawk Box" segment on Monday.
While there will be multiple benefits to consumers "out of the gate" over the coming years, the merger will bring a "dramatic change in terms of the store not just being about products but also service offerings that can help people on their path to better health," Merlo said.
Aetna's Bertolini said many consumers identify health care as not only the biggest household expense, but "the most confusing system."
As part of the merger, Aertna will add a more customized experience for the individual that's less expensive, he said.
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