By Michelle F. Davis and Kiel Porter | Bloomberg
CVS Well being Corp. has reached a deal to purchase home-health and expertise providers supplier Signify Well being Inc. for about $8 billion, as the pharmacy chain continues to increase past its retail origins.
CVS is buying Signify for $30.50 a share, in keeping with a press release Monday.
CVS emerged because the successful bidder over potential suitors that had included UnitedHealth Group Inc., Amazon.com and Choice Care Well being Inc.
By way of its software program and providers, Signify goals to assist purchasers — payers like well being plans, authorities applications and employers — shift to value-based cost plans. It’s backed by New Mountain Capital, which fashioned the corporate in 2017, in keeping with the non-public fairness agency’s web site.
“Signify Well being will play a crucial function in advancing our health-care providers technique and provides us a platform to speed up our progress in value-based care,” CVS Well being Chief Government Officer Karen S. Lynch mentioned within the assertion. “This acquisition will improve our connection to customers within the residence and allows suppliers to higher handle affected person wants as we execute our imaginative and prescient to redefine the health-care expertise.”
The businesses mentioned they count on the transaction to shut within the first half of 2023.
Signify rose 1.3% to shut at $28.77 in New York buying and selling Friday, giving it a market worth of about $6.7 billion.