CVS Health Corporation (CVS) announced plans on Wednesday to separate into two independent, publicly traded companies, reshaping one of the largest healthcare companies in the US.
Shares of CVS dropped more than 10% on Wednesday. The company also reported quarterly results.
CVS Health intends to separate its insurance, pharmacy benefit management, and healthcare services operations from its retail pharmacy and community healthcare segments.
The planned split marks a major shift from CVS Health's long-term strategy to bring together insurance, pharmacy benefit management, and healthcare services under one single structure.
Under the proposed plan, one company will retain the CVS Health name and house Aetna, CVS Caremark, CVS Specialty, Oak Street Health, and Signify Health.

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