CVS-Aetna merger, drones are on CVS CEO Larry Merlo’s mind

As the $70 billion megamerger between CVS Health and Aetna awaits final approval from a federal judge, CVS Health CEO Larry Merlo on Monday talked about the deal, anti-competitive concerns and whether PBMs have a target on their back at the National Press Club.

1. Why merge with Aetna?

In 2010 Aetna signed a 12-year contract to outsource its pharmacy benefit to CVS Health. By now the two companies know one another well, Merlo said.

But Aetna’s book of business was attractive too, particularly its growing contracts with Medicaid and Medicare, whose roles are ballooning.