The Wall Street Journal reports that CVS health is looking to acquire Signify Health, which describes itself as "a leading healthcare platform that leverages advanced analytics, technology, and nationwide healthcare provider networks to create and power value-based payment programs. Our mission is to transform how care is paid for and delivered so that people can enjoy more healthy, happy days at home."
The Journal notes that Signify Health is in the process of evaluating various strategic options, including a possible sale.
For CVS, the story says, "a deal would help fulfill its stated ambition to become an even bigger provider of medical services. The company has indicated it hopes to have a deal in place to help it do so by year-end."
Signify also may be something of a consolation prize for CVS, which "had eyed a deal for the parent of One Medical, people familiar with the matter said, before Amazon.com Inc. agreed to buy the primary-care clinic operator for about $3.9 billion last month."
- KC's View:
I agree with the impulse, though in comparison with what Amazon announced recently, it does sort of sound like a rebound relationship, which isn't always the best idea.
And now, every time I think about CVS getting more ambitious, I think about the picture that I recently took at one of its pharmacy counters, which suggested that it can't even get the little things right and may not be worthy of being entrusted with greater responsibility for people's primary care.