Updated from 9:27 a.m. with opening stock prices.
On Monday, big box retailer Target announced it struck a deal with CVS Health (CVS) for CVS to acquire its pharmacy and clinic businesses for approximately $1.9 billion. Through this agreement, CVS Health will acquire Target's more than 1,660 pharmacies across 47 states and operate them through a store-within-a-store format, branded as CVS/pharmacy.
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In addition, a CVS/pharmacy will be included in all new Target stores that offer pharmacy services. Target's nearly 80 clinic locations will be rebranded as MinuteClinic.
Shares of Target were up 1.36% in early mornings trading, while shares of CVS were up 0.06%
"We believe this transaction presents a unique opportunity to partner with a best-in-class provider -- in a very complex space -- in which we are not well-positioned to be successful on our own," said a Target spokesperson in an email.