FX.co ★ Kroger To Sell Specialty Pharmacy Business To CarelonRx

Kroger Co. announced on Monday that it has agreed to sell its specialty pharmacy business to CarelonRx, a subsidiary of Elevance Health.

According to Colleen Lindholz, the President of Kroger Health, the decision to sell was made after a routine review of assets. "It became clear that our robust specialty pharmacy business would flourish even more outside of our own business. We prioritized ensuring ongoing operations to minimize disruption for our employees and patients," Lindholz stated.

The retailer's specialty pharmacy focuses on serving patients with chronic illnesses that necessitate complex care. It provides valuable resources to patients and prescribers, which include top-notch therapy programs, counseling, side-effect management, financial aid, bespoke care, and administrative proficiency.

It is worth noting that the Kroger Specialty Pharmacy is separate from the rest of the Kroger Family of Pharmacies, which encompasses in-store retail pharmacies and The Little Clinics. Therefore, in-store retail pharmacies and The Little Clinics were not part of this transaction.

The deal is dependent on standard closing conditions, which include regulatory approvals. It is anticipated to be finalized in the latter half of 2024. The transaction is not projected to affect Kroger's 2024 guidance.