Amazon to acquire PillPack online pharmacy

PillPack prepackages and mails consumers pills.									Pat Greenhouse  The Boston Globe

Amazon has announced plans to acquire PillPack, an online pharmacy that sorts patients' medications into personalized packets that are delivered directly to their door.

Shares of CVS and Walgreens declined on the news of Amazon's purchase. Pharmacy benefit manager Express Scripts was also lower.

PillPack, for the uninitiated, is an online pharmacy that makes it easy for people who take several different prescriptions a day. Terms of the deal were not disclosed, but Amazon referred to the deal as a "definitive merger agreement".

"In our view, this is only the first play in what will be an increasingly aggressive strategy by Amazon to develop a much more significant presence in the pharmacy market", he said.

"At this juncture we are not anxious about Amazon's entrance into the prescription market", Cantor Fitzgerald analyst Steven Halper said in a note.

The online retail giant also announced a joint venture with JPMorgan Chase and Berkshire Hathaway aimed at lowering health costs for the companies' U.S. employees. Just hours before Amazon announced it's buying PillPack, Walgreens beat analyst estimates on third-quarter revenue and earnings. The three companies said they would use big-data analysis and other high-tech tools to improve care and cut waste. News of the acquisition is also a bitter pill to swallow for Walmart, which was said to be looking into buying PillPack for under $1 billion earlier this year, according to CNBC. The firm also helps to co-ordinate refills and renewals. Amazon says it expects the deal to close during the second half of this year, pending regulatory approval.

Related:

Comments

Latest news

Rima Kallingal, Remya Nambisan, Geetu Mohandas resign from AMMA over Dileep row
The incidents that are reportedly happening in the AMMA challenge the democratic mindset of Keralites. It is a decision that tarnishes Mohanlal's image, he said in a statement.

Free HIV screenings set for National HIV Testing Day in Del
Early diagnosis and treatment is both beneficial for the health of the person living with HIV, and protects their sexual partners. Local testing partners will provide trained counselors to conduct the testing and will provide results on-site within minutes.

Joachim Low jumps to Mesut Ozil's defence after World Cup exit criticism
Son Heung-min made it 2-0 in the sixth minute of stoppage time after Neuer came up the field to help his teammates outside the South Korea box.

$117,000 a year considered 'low income' in some Bay Area counties
More proof of that old saw came this week by way of the federal governments updated affordable housing income thresholds. Analysis from multiple news outlets reveals that in three Bay Area counties, the low income limit is set at $117,400.

Germany crash out, Brazil through
Prior to the World Cup, Jo was the least experienced of the three custodians on the national team with five caps. We've done very well and we're happy and we deserved to win.

Other news