Walmart Inc (NYSE:WMT) is reportedly in talks to acquire health insurer Humana Inc (NYSE:HUM).

According to recent reports, the talks between the two companies are still in the early stages. This means that there may not be a deal made between them. However, many reports claim that they could result in a better relationship between the two.

Walmart and Humana making a deal for an acquisition or forming a closer relationship may come as a surprise to some. However, the two have been close in the past. There’s also the fact that more insurers are taking part in deals with other companies to give them additional leverage against rising prices from drugmakers.

There’s also been talk before this that Walmart and Humana would join together. This speculation started in back in late 2017. The foundation for it was CVS Health Corp (NYSE:CVS) announcing plans to buy Aetna Inc (NYSE:AET). This led analysts to believe that WMT and HUM may make a deal next, reports Business Insider.

More details about the possible deal between Walmart and Humana are still unknown. This includes not knowing anything about the possible terms of an agreement between the two.

Walmart and Humana are both remaining quiet on the reports. When asked by USA Today, WMT said that it doesn’t comment on rumors and speculation. HUM was even more silent, simply not responding to questions about a possible deal with the retailer.

WMT stock was up 1% and HUM stock was up slightly as of Friday afternoon.

As of this writing, William White did not hold a position in any of the aforementioned securities.