Sept 29 (Reuters) - Healthcare-focused Glenview Capital

Management has established a large position in CVS Health ( CVS )

and will meet top executives at the struggling

healthcare company on Monday to propose ways it can improve its

operations, The Wall Street Journal reported on Sunday.

The hedge fund's founder Larry Robbins plans for the

potential start of an activist stance as CVS amounts to about

$700 million of his $2.5 billion hedge fund, the report added

citing a person familiar with the matter.

Glenview's position is a sign of Robbins's belief in the

company's potential and his confidence he can get executives to

pursue a new path, as per WSJ.

CVS and Glenview did not immediately respond to a

Reuters' request for comment.

Speculation has mounted among fund managers that an

activist investor may swoop in to push CVS to make changes that

would boost its share price.

Investment firm Sachem Head Capital Management

built

a new 0.2% stake in the company during the second quarter,

according to a regulatory filing in August.

Earlier in August, CVS took down its annual profit

forecast to $6.40 to $6.65 per share from its prior view of at

least $7.00, marking at least the fourth time the healthcare

conglomerate

lowered its outlook

for the year.

It also announced a multi-year plan to save $2 billion

in costs through measures such as streamlining its operations

and using artificial intelligence and automation across its

business.