CVS Health Announces Intent to Create Two Distinct Leaders in Healthcare
Key Highlights
- ➤CVS plans tax-free separation into healthcare solutions and CVS Pharmacy companies
- ➤Separation expected in first half of 2028, subject to customary conditions
- ➤David Joyner will lead healthcare solutions; Prem Shah will lead CVS Pharmacy
- ➤Both companies expected to maintain investment-grade ratings and pay attractive dividends
- ➤CVS raised full-year 2026 guidance alongside third-quarter results
Expert Statements
David Joyner, Chairman and CEO of CVS Health
“Our history is defined by proactively evolving to stay ahead of what's next in healthcare, and in today's environment, that means delivering more affordability, greater access, and a simpler experience,”
David Joyner, Chairman and CEO of CVS Health
“Over the last two years, we have made meaningful progress: we built a world-class leadership team, strengthened our financials, revitalized operations across the enterprise, and drove total shareholder return. From a position of strength, and a focus on the long term, we plan to create two focused companies to improve consumer engagement, affordability, and care coordination.”
David Joyner, Chairman and CEO of CVS Health
“Aetna, CVS Caremark and CVS Specialty, along with our value-based care and in-home health businesses, will advance together as a leading healthcare solutions provider, delivering differentiated, comprehensive benefits to clients, members and patients. CVS Pharmacy will build on its position as America's leading retail pharmacy, serving as the front door to health and care in our country as the most frequently accessed consumer health touchpoint. Both companies will continue to advance innovative technology solutions to improve the healthcare experience as we deliver on our purpose to simplify healthcare, one person, one family and one community at a time.”
CVS Health Announces Intent to Create Two Distinct Leaders in Healthcare PR Newswire
* A leading healthcare solutions company with health benefits, pharmacy services and care delivery * The leading national retail pharmacy and community healthcare company * Ongoing strategic execution creates opportunity for CVS Health to evolve into two companies with greater focus and more value for stakeholders * Will continue to improve affordability, access, and simplicity in healthcare * Both companies expected to have a solid investment grade rating, with strong free cash flow generation, flexibility for strategic capital deployment and an attractive dividend * Expected to be completed in the first half of 2028 by means of a separation that is intended to be tax-free to CVS Health and its shareholders * CVS Health to host investor conference call today at 8 a.m. ET WOONSOCKET, R.I., Nov. 4, 2026 /PRNewswire/ -- CVS Health® (NYSE: CVS) today announced that it intends to separate into two independent, publicly traded companies, each committed to innovating to make healthcare more affordable, accessible, and simpler to navigate for the millions of people each serves. The decision follows a comprehensive strategic review by the CVS Health Board of Directors.
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