CVS Is in Another Bidding War
CVS Health (NYSE: CVS) has mergers and acquisitions on its mind. Earlier this month, it announced plans to acquire home health company Signify Health for $8 billion, beating out other bids from Amazon and UnitedHealth Group. On a recent earnings call, management at CVS also hinted that it was looking for a deal in primary care to expand its services further.
And CVS may have already found a company to fulfill that goal amidst rumors of another acquisition, possibly setting up another bidding war.
According to a report from the Wall Street Journal, Cano Health (NYSE: CANO) is the next company in CVS' crosshairs. Cano Health is a provider of value-based care, with the bulk of its revenue (87%) coming from Medicare. Although Cano's business has been growing of late, its bottom line has struggled to stay out of the red.
Source Fool.com
