McKesson pays $735 million for CVS' pharmacy services unit
McKesson Corp. (NYSE: MCK) has agreed to buy pharmacy services provider RxCrossroads from CVS Health Corp. (NYSE: CVS) for $735 million. The transactions comes amid deal talks between CVS and insurer Aetna Inc. (NYSE: AET).
RxCrossroads, located in Louisville, Kentucky, provides reimbursement assistance, patient adherence programs, logistics, sales operations support, as well as mail-order pharmacy services. CVS purchased the target in 2015 as part of the Omnicare deal.
McKesson CEO John Hammergen says the acquisition will grow the company's hub services and patient assistance programs, "while establishing new logistics services to plasma manufacturers, which allows us to serve biopharma companies of all sizes and throughout the product life cycle.” RxCrossroads will join McKesson's specialty health business after the deal closes. McKesson distributes medical and pharmaceutical products to pharmacies and healthcare facilities.
Earlier in 2017, San Francisco-based McKesson bought prescription automation company CoverMyMeds. “We have placed a priority on deals that extend our channel influence and provide value-added services in the specialty space," Bansi Nagji , McKesson EVP of corporate strategy and business development, said in a previous statement to Mergers & Acquisitions.
In other recent healthcare deals, CryoLife Inc. (NYSE: CRY) is acquiring medical device manufactuer Jotec AG; Owens & Minor Inc. (NYSE: OMI) agreed to buy Halyard Health Inc.'s (NYSE: HYH) surgical and infection prevention business; TPG Capital is taking surgical implant device maker Exactech private.