CVS Reaches Agreement with Glenview Capital, Adds Four Seats to Board

CVS Health has reached a strategic agreement with Glenview Capital, resulting in the addition of Glenview CEO Larry Robbins and three other directors to its board. This comes shortly after CVS appointed a new CEO, tasked with improving the company’s financial performance.

Effective immediately, Larry Robbins will join the CVS board, alongside Leslie Norwalk, Guy Sansone, and Doug Shulman. As part of the agreement, CVS’s board will expand to 16 members. The move follows what CVS described as “productive discussions” with Glenview, which holds a significant stake in the company.

The addition of these new board members comes at a time when CVS has faced significant challenges, including issues with its Medicare Advantage business and rising medical costs, along with operational difficulties. As part of its efforts to improve efficiency, CVS recently announced a multibillion-dollar cost-cutting initiative, including the layoff of thousands of employees.

The company has been under increasing pressure from investors like Glenview to enhance its performance. The changes follow the departure of former CEO Karen Lynch, who stepped down last month.