CVS, Caremark Talk Deal

Merger chatter comes amid pharmacy industry turmoil.
Author:
Publish date:

CVS

(CVS) - Get Report

and

Caremark

(CMX)

said they're talking merger.

A deal would link one of the biggest retail pharmacies, Woonsocket, R.I.-based CVS, with a big player in the mail order drug business, Nashville, Tenn.-based Caremark.

Talks were reported Wednesday morning by

The New York Times

, and the companies subsequently issued a release in which they "confirmed today they are engaged in discussions relating to a possible merger of equals transaction."

The deal talks come just a month after giant retailer

Wal-Mart

(WMT) - Get Report

shook up the drug industry by slashing prices on generic prescriptions, and just weeks after a report on wholesale pricing practices across the industry threatened further fallout.