Seattle — Drugstore industry stocks took a hit on Thursday with the announcement Amazon is buying online pharmacy PillPack, which delivers pre-sorted doses of medication in 49 states, for $1 billion.
“PillPack’s visionary team has a combination of deep pharmacy experience and a focus on technology,” said Jeff Wilke, Amazon CEO Worldwide Consumer, in a statement announcing the deal. “PillPack is meaningfully improving its customers’ lives, and we want to help them continue making it easy for people to save time, simplify their lives and feel healthier.”
CNBC reported that by mid-day trading, shares of Walgreens Boots Alliance, CVS Health and Rite Aid lost a combined $12.8 billion in market value.
In a related development, the company also announced a program soliciting businesses to serve as Amazon delivery agents for an upfront investment of $10,000 in a turnkey operation.