As CVS Health move towards completing its $69 billion acquisition of Aetna, its announced the senior leadership team of the combined company, including Aetna chief financial officer Shawn Guertin becoming CFO for the expanded CVS.
“The talent of both organizations is reflected in the management team that we are naming today and that will report to me as of the close of the transaction,” CVS Health president and CEO Larry Merlo said in a statement. “I look forward to working alongside this outstanding group of individuals as we take on the task of transforming the way health care is delivered in America engaging consumers with the care they need, when and where they need it, and making the patient and caregiver experience simpler and more affordable.”
Among the leadership changes announced:
- Shawn Guertin, currently Aetna’s CFO and chief enterprise risk officer, will become CFO of CVS Health. He’ll have “oversight of Investor Relations, Financial Planning and Analysis for the lines of business, Tax and Treasury functions, and Accounting.”
- Rick Jelinek, currently head of enterprise strategy for Aetna, will become an executive vice president for CVS and then co-lead the combined company’s integration efforts alongside CVS executive vice president Josh Flum.
- Current CVS Health CFO David Denton and Aetna executive Steven Kelmar, Thomas Sabatino, Jr., and Thomas Weidenkopf will all be leaving the company once the transaction is closed.
- Aetna’s chief medical officer Harold Paz, MD, MS, is among those who will remain with the company “for a period of time” to assist with the transition.
Several executives will largely retain their current roles, including CVS Health’s COO Jon Roberts, Aetna president Karen Lynch, Aetna’s head of government services Fran Soistman, Aetna International president Richard di Benedetto.
Aetna’s current CEO, Mark Bertolini, won’t have an operational role in the new company but will be among three new members added to the CVS Health board from Aetna. It was earlier reported he’ll receive a golden parachute package of $500 million, including the value of his Aetna shares and newly acquired CVS stock.
CVS expects the deal to close in the second half of 2018. It was approved by shareholders in both companies earlier this year, and while the Department of Justice did ask for additional information on the merger agreement, its given no indication the federal government will challenge the combination in court.