New York-based investment adviser Starboard Value has taken a stake in CVS Health and held talks with the company's management, people familiar with the matter told The Wall Street Journal.
Starboard's stake seems to be relatively small, though the amount and the details of the talks are unknown. People familiar with the talks told the Journal they were amicable.
Starboard is one of the top activist investment firms, and companies usually take note of its investment decisions. It has a record of bringing change to companies, according to the Journal.
Starboard didn't report a stake in CVS in its latest quarterly filing, but this information may have been omitted since investors can receive confidential treatment if they are in the process of building a position, according to the Journal.
CVS stock has fluctuated since it acquired health insurer Aetna for almost $70 billion in 2018. Its current market capitalization stands at about $100 billion.
Read the full article here.
More articles on pharmacy:
Novartis pays $9.7B to acquire Medicines Co.
Drug importation plan will be released 'soon,' Trump tweets
From data analytics to biosimilars — How 5 pharmacy leaders are tackling drug pricing