CVS Health to split business into two public companies by 2028 — CNBC

In the United States, CVS Health plans to split into two separate public companies by early 2028. The decision предусматривает the separation of approximately 9,000 CVS retail pharmacies from the Aetna insurance business and Caremark pharmacy benefits manager, CNBC reports.

Both new companies will remain public. One of them will retain the CVS Health name and will be led by current CEO David Joyner. Current CVS shareholders will own shares in both companies after the split.

Reviewing the model after the Aetna acquisition

The split will effectively mean a review of the 2018 deal under which CVS acquired insurer Aetna for $78 billion. At the time, the company formed a vertically integrated group combining pharmacies, health insurance and prescription management services.

In 2025, CVS's pharmacy division generated $37.66 billion in sales. Revenue from the insurance segment amounted to $36.29 billion, while the healthcare services segment generated $51.24 billion.

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The company is to combine its insurance business and Caremark with the Oak Street Health primary care network, Signify Health, a provider of in-home healthcare visits, and its specialty drug business.

Pressure on pharmacy benefit managers

According to CNBC, CVS had previously considered a split: in October 2024, the company hired advisers for a strategic review of its business. Since then, CVS has implemented a $2 billion cost-cutting program, closed some stores, changed management and sought to curb spending in its Medicare Advantage program.

CVS shares have risen by about 70% since Joyner took over the company in October 2024. The group's market value stood at $117 billion.

Leerink Partners analyst Michael Cherny said that a standalone pharmacy company could have stronger prospects due to growing market share and stabilizing gross margins. He also suggested that increased scrutiny by state lawmakers of CVS's vertical integration could be one of the factors behind the decision. Pharmacy benefit managers in the United States are under pressure over opaque pricing, market concentration and potential conflicts of interest when such companies simultaneously own insurance entities and pharmacies.