By Chelsey Dulaney
CVS Health Corp. on Monday said it agreed to buy Target Corp.'s
pharmacy and clinic businesses for about $1.9 billion in a deal
that will significantly grow CVS's retail presence.
The deal includes more than 1,660 pharmacies, which CVS will
rebrand as CVS/pharmacy and operate through a store-within-a-store
format. The transaction also includes nearly 80 clinics, which will
be rebranded as MinuteClinic.
CVS said it expects the deal to generate significant sales and
prescription volumes, while boosting its presence in new markets
such as Seattle and Portland.
For its part, Target expects the move to increase its focus on
wellness and drive long-term traffic.
"By partnering with CVS Health, we will offer our guests
industry leading health-care services, and at the same time,
sharpen our focus on elevating the way we deliver wellness products
and experiences to our guests," said Target Chief Executive Brian
Cornell.
Write to Chelsey Dulaney at Chelsey.Dulaney@wsj.com
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