logo
Share SHARE
FONT-SIZE Plus   Neg

Express Scripts Closes $29.1 Bln Medco Health Solutions Acquisition -Quick Facts

Express Scripts (ESRX) completed its $29.1 billion acquisition of Medco Health Solutions. The new Express Scripts combines clinical expertise and innovative applications of behavioral science to enhance patient health while driving down the cost of healthcare. Combining the companies' complementary offerings would create better models of care and improve patients' adherence to prescribed treatment regimens.

Commenting on the merger, George Paz, chairman and chief executive officer, Express Scripts stated, "It represents the next chapter of our mission to lower costs, drive out waste in healthcare and improve patient health. We remain focused on formulary management, channel management and closing gaps in care, which will allow us to further improve the health of people with chronic and complex medical conditions."

Following consummation of the purchase, each share of pre-closing Medco common stock was converted into the right to receive $28.80 in cash, without interest and 0.81 common shares of the new Express Scripts, a holding company which would own 100% of each of the existing Express Scripts and Medco, and each share of the pre-closing Express Scripts common stock was converted into one share of new Express Scripts common stock.

As already announced, the company expects synergies of $1 billion once fully integrated, representing nearly 1 percent of the combined company's costs. The transaction is expected to be slightly accretive to earnings per share, excluding integration and deal-related costs and charges, in the first full year after closing and moderately accretive once fully integrated.

by RTT Staff Writer

For comments and feedback: editorial@rttnews.com

Business News

Quick Facts

Editors Pick
Walt Disney Co. has threatened to pull its programming from cable distributor Altice USA Inc. if the two companies are unable to reach a new deal before the end of September. The current contract between the two companies expires at the end of this month. Jaguar Land Rover, Britain's biggest car maker, is eyeing potential acquisitions of international automakers, Bloomberg reported Monday, citing people with knowledge of the matter. Jaguar Land Rover, owned by India's Tata Motors Ltd., has reportedly been holding internal discussion on acquiring other brands in order to diversify its range of vehicles. Target Corp. said Monday that it plans to raise minimum hourly wage for all its workers to $11 in October, marking its third wage increase in three years. The discount-store operator also said it is committed to increasing the minimum hourly wage to $15 by the end of 2020.
comments powered by Disqus
Follow RTT