Question
please help me complete the questions on the following attached article. Thank you. CVS Health Corp. is in talks to buy Aetna Inc. for more
please help me complete the questions on the following attached article. Thank you.
CVS Health Corp. is in talks to buy Aetna Inc. for more than $66 billion as the drugstore giant scrambles to fortify itself against looming competition from Amazon.com Inc. amid a continuing reordering of the health-care industry (WSJ, October 27, 2017).
Questions:
1. How much has CVS proposed to pay for Aetna? | |
2. Why might the two firms be worth more if combined? Why might they be worth less? | |
3. Why do you think shares of CVS and other pharmacy chains tumbled after the St. Louis Post-Dispatch reported Amazon had received approval for a wholesale pharmacy licenses in several states? | |
4. How did the shares of CVS and Aetna react when The Wall Street Journal reported on a possible deal between the firms? How would you explain these reactions?
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