Amazon set to face fierce competition as it expands into healthcare
Amazon.com Inc AMZN is acquiring 1Life Healthcare Inc ONEM for $3.9 billion or $18 per share in an all-cash, debt-inclusive merger agreement.
About One Medical: 1Life Healthcare went public in 2020 and operates as One Medical, providing primary care services in person or virtually as well as telemedicine services, such as shown in the Wall Street Journal.
Forbes reported that One Medical operates 188 primary care clinics in 25 markets with approximately 767,000 memberships, representing a 28% year-over-year increase.
One Medical CEO Amir Dan Rubin said in a press release, "There is a huge opportunity to make the healthcare experience more accessible, affordable and even enjoyable. for patients, providers and payers. ."
Key acquisition details: According to a previous CNBC report, the purchase of One Medical will open Amazon's market to 188 clinics, customer base and data while Amazon is trying to expand into the healthcare sector.
Senior Vice President of Amazon Health Services Neil Lindsay said Amazon's goal is to reinvent its current health services to make the experience more convenient for the customer.
Also read: Robotic taxi market heats up as Amazon unit prepares for debut
Amazon's history in healthcare: In 2018, Amazon, JPMorgan Chase & Co JPM and Berkshire Hathaway Inc (NYSE: BRK-A) formed a joint venture to determine how to reduce health care costs and improve care for their American employees.
Ultimately, the joint venture came to an end as it faced many problems early on, with data collection being one of the biggest challenges.< /p>
Competition: As Amazon strives to grow, it's no secret that the barriers to entry in healthcare are among the toughest.< /p>
By acquiring One Medical, Amazon will now be in direct competition with companies such as UnitedHealth Group Inc UNH and CVS Health Corp CVS as well as other companies or hospitals seeking to hire care physicians primary and specialist, as reported by The Wall Street Journal.
Price Action: One Medical shares rose more than 65% after Thursday's announcement, closing at $17.15 on Friday.
© 2022 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Amazon.com Inc AMZN is acquiring 1Life Healthcare Inc ONEM for $3.9 billion or $18 per share in an all-cash, debt-inclusive merger agreement.
About One Medical: 1Life Healthcare went public in 2020 and operates as One Medical, providing primary care services in person or virtually as well as telemedicine services, such as shown in the Wall Street Journal.
Forbes reported that One Medical operates 188 primary care clinics in 25 markets with approximately 767,000 memberships, representing a 28% year-over-year increase.
One Medical CEO Amir Dan Rubin said in a press release, "There is a huge opportunity to make the healthcare experience more accessible, affordable and even enjoyable. for patients, providers and payers. ."
Key acquisition details: According to a previous CNBC report, the purchase of One Medical will open Amazon's market to 188 clinics, customer base and data while Amazon is trying to expand into the healthcare sector.
Senior Vice President of Amazon Health Services Neil Lindsay said Amazon's goal is to reinvent its current health services to make the experience more convenient for the customer.
Also read: Robotic taxi market heats up as Amazon unit prepares for debut
Amazon's history in healthcare: In 2018, Amazon, JPMorgan Chase & Co JPM and Berkshire Hathaway Inc (NYSE: BRK-A) formed a joint venture to determine how to reduce health care costs and improve care for their American employees.
Ultimately, the joint venture came to an end as it faced many problems early on, with data collection being one of the biggest challenges.< /p>
Competition: As Amazon strives to grow, it's no secret that the barriers to entry in healthcare are among the toughest.< /p>
By acquiring One Medical, Amazon will now be in direct competition with companies such as UnitedHealth Group Inc UNH and CVS Health Corp CVS as well as other companies or hospitals seeking to hire care physicians primary and specialist, as reported by The Wall Street Journal.
Price Action: One Medical shares rose more than 65% after Thursday's announcement, closing at $17.15 on Friday.
© 2022 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
What's Your Reaction?
