CVS Health Corp. will acquire Omnicare Inc., the leading provider of pharmacy services to long-term facilities, in a deal announced for $98 per share in cash for a total enterprise value of around $12.7 billions, which includes a debt of $2.3 billion.
"We are pleased to have reached this agreement with CVS Health, one of the leading companies in the health care industry, which we believe will allow us to accelerate our mission of enhancing the quality and cost-effectiveness of care for complex patient populations," Omnicare CEO and President Nitin Sahney said. "This exciting combination is the result of a broad and thorough review of our strategic options. On behalf of the Omnicare team, I'd like to thank our 13,000 employees whose hard work and dedication has enabled Omnicare to become a recognized leader in pharmacy services."
Through acquiring Omnicare, CVS Health will greatly expand its ability to dispense prescriptions in assisted living and long-term care facilities and expand its presence in the quickly growing specialty pharmacy business.
"The acquisition of Omnicare significantly expands our business, providing CVS Health access into a new pharmacy dispensing channel," CVS Health CEO and President Larry Merlo said. "It also creates new opportunities for us to extend our high-quality, innovative pharmacy programs to a broader population of seniors and chronic care patients as they transition across the care continuum. We have been impressed by the Omnicare team and what they have created for the patients they serve."
Alerts Sign-up