CVS Health to acquire Oak Street Health for $10.6b

CVS Health has plans to acquire Chicago-based Oak Street Health in an all-cash transaction at $39 per share, representing an enterprise value of approximately $10.6 billion.

Oak Street Health is a network of primary care centers for adults on Medicare. The company employs approximately 600 primary care providers and maintains 169 medical centers across 21 states. By 2026, Oak Street Health plans to grow to more than 300 centers.

“Combining Oak Street Health's platform with CVS Health's unmatched reach will create the premier value-based primary care solution,” said Karen Lynch, president and CEO of CVS Health. “Enhancing our value-based offerings is core to our strategy as we continue to redefine how people access and experience care that is more affordable, convenient and connected.”