News

Sears Holdings, Walgreens finance veteran lands CFO job at LivingSocial

BY Michael Johnsen

WASHINGTON — LivingSocial, the local marketplace to buy and share the best things to do in your city and beyond, on Thursday announced the appointment of Sears and Walgreens veteran Atul Kavthekar as CFO. He will join the company in June, and will report to president and CEO Gautam Thakar.
 
“Atul is a seasoned finance leader with deep retail, ecommerce, corporate development and strategic experience, which will be a tremendous asset in shaping the refounding journey at LivingSocial,” said Thakar. “We are thrilled to have him join the team at this important stage of the business.”
 
Having started his career as an engineer, Kavthekar brings more than 20 years of experience in finance, banking and strategic business development. Prior to LivingSocial, he served as CFO and head of corporate development for Sears Holdings Corporation’s Health and Wellness Solutions business unit. In this position, he was responsible for overall financial management, corporate and business development, and strategic planning for the division.
 
Prior to Sears, Kavthekar was the CFO for Walgreens’ ecommerce division, where he oversaw the financial management and business development of the retailer’s rapidly growing, multi-billion dollar unit, including its mobile, tablet and website platform development. Also at Walgreens, he was a leader in mergers and acquisitions and strategic investing, including the company’s acquisition of drugstore.com. Kavthekar was responsible for the overall financial performance of walgreens.com, drugstore.com, beauty.com, skinstore.com and visiondirect.com, as well as additional venture capital investments.
 
Earlier, Kavthekar held senior investment banking positions at KPMG Corporate Finance, Trenwith Group and Morgan Stanley. In these roles, he led corporate development initiatives and transactions across multiple industries, sectors and countries.
 
Kavthekar has an MBA from the University of Chicago Booth School of Business, a master’s degree in industrial engineering from Wayne State University and a bachelor’s degree in engineering from the University of Michigan.
keyboard_arrow_downCOMMENTS

Leave a Reply

No comments found

TRENDING STORIES

Polls

Which area of the industry do you think Amazon's entry would shake up the most?
News

Family Dollar merger almost done, Dollar Tree says

BY Michael Johnsen

CHESAPEAKE, Va. — Dollar Tree on Thursday reported progress with the Federal Trade Commission and divestiture buyers in order to complete the company's pending acquisition of Family Dollar. The FTC's staff has substantially completed its review and Dollar Tree plans to divest approximately 330 Family Dollar stores representing approximately $45.5 million of operating income. The company intends to reach an agreement with a divestiture buyer in the coming days and secure FTC clearance thereafter. 
 
Dollar Tree intends to close the proposed merger in early July 2015.
 
The dollar store operator, which sells everything in its stores for $1 or less, reported consolidated net sales of $2.2 billion, up 8.8%, for its first quarter ended May 2. Consolidated same-store sales increased 3.4% on a constant currency basis, compared to a 2% increase in the prior-year period. 
 
"Comparable store sales grew as the result of increases in both traffic and average ticket," said Bob Sasser, CEO Dollar Tree. "Customers are shopping with us more often and they are buying more on each visit. Our performance continues to validate that Dollar Tree is part of the solution for millions of customers seeking great values for their hard-earned dollars. Despite challenges presented by delayed receipts of merchandise related to the West Coast port congestion and the impact of the holiday calendar shift, our team worked together to deliver solid sales and earnings, both of which were well within our guidance range. We entered the second quarter with fresh inventory, stocked shelves and greater values than ever for our customers."
 
Dollar Tree opened 93 stores, expanded or relocated 10 stores, and closed six stores during the quarter. Retail selling square footage increased to 47.2 million square feet, a 7.1% increase compared to the prior year.
 
keyboard_arrow_downCOMMENTS

Leave a Reply

No comments found

TRENDING STORIES

Polls

Which area of the industry do you think Amazon's entry would shake up the most?
News

Merlo to investors: CVS Health is at ‘forefront of changing healthcare landscape’

BY Antoinette Alexander

WOONSOCKET, R.I. — What is the CVS Health competitive edge? To answer that question, CVS Health president and CEO Larry Merlo took the stage Wednesday during the UBS Global Healthcare Conference, a three-day conference in New York City that brings together investors and more than 200 companies across a variety of healthcare sectors.

During his presentation, which was webcast, Merlo provided a recap of the CVS Health business and shared what he believes sets the company apart from rivals.

Kicking off his remarks, Merlo revealed that the PBM business has more 71 million members, with about 25% share of the U.S. PBM market. This year, the company expects operating profit for the PBM segment to be about $3.8 billion, which represents growth of more than 70% since 2011.

The 2015 selling season proved successful as the company won $7.5 billion in gross new business. Net new business for 2015 totals just over $4 billion. Meanwhile, the 2016 selling season is off to “a good start.”

It comes as no surprise that Merlo sees the specialty pharmacy market growing “dramatically,” climbing from $86 billion in 2014 to more than $150 billion by 2018. With the growth will come challenges for clients looking to control spend and for patients looking for greater access to cost-effective solutions.

“When we meet with clients by far and away their biggest concern is the accelerated growth in specialty pharmacy spend,” Merlo said, who noted that the company has been in the specialty business for more than 35 years. “Again, we are well positioned to help manage this trend through our broad specialty capabilities. Those capabilities have led us to become the largest specialty pharmacy in the United States, dispensing about 25% of all specialty scripts.”

Merlo noted that the company generated about $31 billion in enterprise specialty revenues last year, which is expected to grow to about $37 billion this year.

Merlo also stated that company’s retail pharmacy business continues to enjoy strong growth.

“Our growth is outpacing the market as we have not only grown faster than the overall retail market but nearly three times faster that other drug chains,” Merlo said.

Then there’s MinuteClinic, the company’s retail clinic business, which has nearly 1,000 clinics in 31 states and District of Columbia. The goal: to operate 1,500 clinics by 2017.

As previously reported by Drug Store News, CVS Health is not only focusing on expanding MinuteClinic’s geographic footprint but also its scope of services to include chronic condition monitoring and wellness programs. Meanwhile, the company has established affiliations with more than 50 major healthcare systems nationwide.

“That has enabled us to further expand our platform that supports primary care both conveniently and cost effectively,” Merlo said.

Looking ahead, CVS Health, which considers itself to be at the forefront of a changing healthcare landscape, will continue to deliver breakthrough products and services, Merlo told investors.

“We are the only company that has the ability to impact consumers, payors, providers with innovative, channel-agnostic solutions. And our unique products like Maintenance Choice, Pharmacy Advisor, and now Specialty Connect, they remain unmatched in the marketplace,” Merlo told investors. “We have broad and deep specialty capabilities. We are a leader in that space, providing unmatched tools to holistically manage the specialty patient. We have unrivaled scale and expertise, which allows us to be a low-cost provider. Additionally, I mentioned that we are the largest retail clinic provider and the only PBM that can offer reduced or zero co-pays at MinuteClinics, again providing high-quality, cost-effective care in driving down the overall healthcare costs for payors. And finally our robust suite of assets combined with our deep clinical expertise enables us to deliver superior outcomes at lower costs.”
 

keyboard_arrow_downCOMMENTS

Leave a Reply

No comments found

TRENDING STORIES

Polls

Which area of the industry do you think Amazon's entry would shake up the most?