CVS closes $70bn Aetna deal; seeks to transform 'consumer health experience'

US drugstore operator CVS Health has completed its acquisition of health insurer Aetna for a total value of $78 billion.

The transaction values Aetna at $212 per share or approximately $70 billion. Including the assumption of Aetna's debt, the total value of the transaction is $78 billion.

Aetna will now operate as a stand-alone business within the CVS Health enterprise and will be led by members of its current management team. The combination is expected to generate significant value for shareholders through synergies and revenue-enhancing initiatives, it said.

CVS said it has begun to put the foundational pieces of its new health care model in place and, in the coming months, will introduce new programs and services designed to increase access to care, improve health outcomes and reduce medical costs for all consumers.

"Today marks the start of a new day in health care and a transformative moment for our company and our industry," said CVS Health president and chief executive officer Larry Merlo. "By delivering the combined capabilities of our two leading organizations, we will transform the consumer health experience and build healthier communities through a new innovative health care model that is local, easier to use, less expensive and puts consumers at the center of their care."

Merlo added: "As the front door to quality health care, our combined company will have a community focus, engaging consumers with the care they need when and where they need it, will simplify a complicated system and will help people achieve better health at a lower cost. We are also leading change in health care by challenging the status quo with new technologies, business models and partnerships. In doing so, we will continue to deliver on our purpose of helping people on their path to better health.

"By fully integrating Aetna's medical information and analytics with CVS Health's pharmacy data, we can develop new ways to engage consumers in their total health and wellness through personal contacts and deeper collaboration with their primary care physicians. As a result, we expect patients will benefit from earlier interventions and better-connected care, leading to improved health outcomes and lower medical costs."