Rumors of Amazon’s interest in entering the healthcare space became reality with the announcement earlier this year of a venture with JPMorgan Chase and Berkshire Hathaway. But it looks like the online retail giant has bigger plans. Amazon announced plans for a merger with PillPack, an online pharmacy.
“PillPack’s visionary team has a combination of deep pharmacy experience and a focus on technology,” says Jeff Wilke, Amazon CEO Worldwide Consumer. “PillPack is meaningfully improving its customers’ lives, and we want to help them continue making it easy for people to save time, simplify their lives, and feel healthier. We’re excited to see what we can do together on behalf of customers over time.”
The transaction will have to receive regulatory approvals. Amazon and PillPack expect the deal to be completed by the end of the year.
“Together with Amazon, we are eager to continue working with partners across the healthcare industry to help people throughout the U.S. who can benefit from a better pharmacy experience,” said TJ Parker, co-founder and CEO of PillPack.
After the deal was announced, CVS and Walgreens stocks were trading lower after the announcement, but both appear to have rebounded in early trading.