Walgreens to fully acquire CareCentrix for another $392 million

On Tuesday, Walgreens Boots Alliance announced its plan to acquire the remaining 45% stake in CareCentrix less than two months after it became the majority owner of the home health care company.

The Deerfield, Illinois-based company is paying a total of $722 million to rapidly increase its presence in the industry. Walgreens completed its original $330 million deal with CareCentrix at the end of August, acquiring a 55% stake in the company that helps patients move from hospitals to their homes. According to a press release, the remaining stake will cost the company $392 million and the deal is expected to close by March 2023.

CareCentrix coordinates home care for 19 million members at 7,400 service points. Following the completion of the transaction, the company will remain a separate division of Walgreens.

“The complete acquisition further accelerates our transformation into a consumer-centric healthcare company, leveraging innovative platforms that expand our capabilities in high-growth healthcare segments,” Walgreens CEO Rose Brewer said in a press release.

CareCentrix CEO John Driscoll will become executive vice president and president of U.S. health care at Walgreens later this month. Home care company CFO Steve Horowitz will lead CareCentrix as CEO.

This deal will further strengthen the pharmacy chain’s growing presence in the healthcare industry. In September, the company agreed to spend $1.37 billion to acquire its remaining stake in specialty pharmaceutical company Shields Health Solutions. Last year, the company’s healthcare segment invested $5.2 billion in primary care startup VillageMD to become the majority owner.