CVS Health Plans to Split About 9,000 Pharmacies Into New Company

CVS Health plans to separate about 9,000 pharmacies and related care businesses into a public company by the first half of 2028, leaving Aetna and CVS Caremark together in another company.

The planned CVS Pharmacy would include about 9,000 pharmacies, mail pharmacy services, MinuteClinic, including virtual care, and Health100. The approximate pharmacy count is as of Sept. 30, 2026. The healthcare solutions company is expected to keep the CVS Health name and would include Aetna, CVS Caremark, CVS Specialty, Oak Street Health and Signify Health.

The split would put retail pharmacies and community care in a separate company from the health insurer and pharmacy benefit manager. The planned structure would divide businesses CVS has brought together across pharmacy, insurance and care. Current CVS Health shareholders would own shares in both companies after the separation.

The standalone pharmacy company is expected to pursue partnerships across the health care system with payers, pharmacy benefit managers and drug manufacturers. The separation is intended to be tax-free for U.S. federal income tax purposes. It is subject to conditions including final board approval, an effective Form 10 registration statement and confirmation of the tax treatment.

“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,” CVS Health Chairman and CEO David Joyner said. Joyner is slated to lead the healthcare solutions company. Prem Shah, CVS Health’s group president, is slated to become CEO of CVS Pharmacy.

CVS announced the plan alongside its third-quarter 2026 results. Revenue was $108.4 billion for the three months ended Sept. 30, 2026, and adjusted earnings were $2.09 per share. CVS raised its full-year 2026 adjusted earnings guidance floor to at least $8.20 per share, from a previous range of $7.90 to $8.10.

CVS completed its acquisition of Aetna on Nov. 28, 2018. The company valued Aetna at approximately $70 billion, or $78 billion including Aetna’s assumed debt. The planned separation is expected in the first half of 2028. CVS has not finalized the new company’s capital structure or disclosed how debt would be allocated.