- Walgreens is reportedly in early takeover talks with AmerisourceBergen, a drug distributor, The Wall Street Journal reported Monday.
- Walgreens already owns about 26% of the drug distributor.
- The talks come at a moment when medical companies are apropos some-more plumb integrated, owning some-more pieces of the medical pie.
One of America’s largest pharmacy businesses has reportedly approached one of the US’s largest drug distributors about a takeover, The Wall Street Journal reports.
Representatives from Walgreens, which already owns 26% of AmerisourceBergen, reached out to member of the wholesaler several weeks ago, The Journal reported.
AmerisourceBergen was up 15% on Monday night following the report. Walgreens declined to comment, while AmerisourceBergen pronounced it’s company’s policy “not to plead any rumors or conjecture per intensity mergers or acquisitions.”
AmerisourceBergen has a marketplace top of $20 billion as of Monday, while Walgreens’ marketplace top was $67.6 billion.
Three drug distributors — AmerisourceBergen, McKesson, and Cardinal Health — discharge about 90% of the US’s drugs to pharmacies and hospitals. The companies, along with pharmacies like Walgreens, have been feeling pressure from the intensity that Amazon could be getting into healthcare.
The bounds of the medical business are changing, with the merger of Aetna by CVS Health, hospitals getting into the general drug business, and insurers starting to demeanour a lot some-more like providers.
Instead of flourishing by appropriation other companies in the same business, companies have started to pierce into new lines of business, with no two combinations looking accurately the same. A Walgreens-AmerisourceBergen understanding would fit into that changing picture.