Woonsocket-based CVS Health says it’s paying nearly $2 billion dollars to take over Target’s pharmacies and walk-in clinics. The deal adds more than 1600 pharmacies and nearly 100 walk-in clinics to CVS’s growing portfolio nationwide.
CVS Health says it will rebrand all of Target’s in-store pharmacies and walk-in clinics as its own. And it will open new pharmacies and clinics in Targets across the nation within a few years. The move gives CVS access to new customers and markets. And it continues a trend in the pharmaceutical industry towards offering a range of health and wellness services, says Paul Larrat, interim dean of the University of Rhode Island school of pharmacy.
“It’s basically a rebranding of some of the larger chains in the country," said Larrat. "Walgreens is doing something along a similar vein. But it’s certainly becoming more than just a place to get your prescriptions filled.”
Larrat says the acquisition may also benefit customers.
“They’ll have access to some of CVS’ very well-developed pharmacy programs," Larrat said. "CVS is a larger chain, also a larger manager of data, so they might get better pricing on their pharmaceuticals from the volume CVS already has.”
CVS says it will try to offer Target employees comparable positions in the newly rebranded pharmacies and clinics. And the company says it will determine whether more staff are needed at its headquarters in Rhode Island once the deal closes later this year.
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