According to reports, CVS is interested in buying the healthcare platform Signify Health, which would enable the pharmacy company to diversify into home health services.
The Journal was informed by sources that CVS will shortly submit one of the early bids. Although Signify has not yet made a decision, other managed-care providers and private equity firms may compete with CVS.
If CVS were to purchase the company, it may assist the company to elevate its activities as a provider of medical services. The business has declared that it intends to do something in that region by the end of the year and aims to have a contract in place by then.
In order to help health plans, employers, physician groups, and health systems with in-home care, Signify provides in-home health evaluations and makes use of analytics and technology.
The healthcare platform went public in February of last year, but the price of its shares has since dropped below their initial $24 IPO price. The company announced earlier this year that it will probably close down one of its divisions owing to modifications made to a government payment scheme in order to concentrate on “more profitable” ventures.
As numerous drugstore shops have been enhancing their medical care offerings, PYMNTS talked about how CVS has taken significant steps toward new healthcare initiatives.
In a recent interview, CVS CEO Karen Lynch stated that the corporation was interested in partnering with a healthcare organization that has “a strong management team, a foundation in technology, and that can develop fast.”
According to the article, this would improve the company’s present product lines because many of its locations already have MinuteClinics installed, enabling clients to receive different vaccinations or services. Additionally, several retailers have offered mental health services.
