The completion of the deal, announced Tuesday, came well ahead of the timetable that CVS initially reported when it unveiled the Omnicare acquisition agreement in May. At the time, CVS said it expected the deal to close near the end of 2015, but in its second-quarter report earlier this month CVS noted that the completion of the acquisition could come as early as the third quarter.
With Omnicare, CVS steps into a new customer distribution channel. The addition will significantly expand CVS’ ability to dispense prescriptions in assisted living and long-term care facilities, as well as enable CVS to expand its presence in the specialty pharmacy business via Omnicare’s complementary specialty pharmacy platform and clinical expertise. Cincinnati-based Omnicare has about 13,000 employees and 160 locations in 47 states.
The deal to buy Omnicare, which includes about $2.3 billion in debt, was followed just weeks later by CVS’ announcement of a $1.9 billion agreement to buy Target Corp.’s 1,660 pharmacies and in-store health clinics. CVS said this month that the closing date of the Target deal remains uncertain and could occur either this year or next year.