Health Care Industry
Industry: Email Alert RSS FeedA whole new market.(The Week In Healthcare)(acquisition between Medco Health Solutions and Accredo Health)
Modern Healthcare, February, 2005 by Becker, Cinda
Byline: Cinda Becker
Medco Health Solutions' $2.2 billion proposal to acquire Accredo Health, a leader in specialty pharmacy services, promises to fatten the pharmacy benefit manager's margins by staking out a position in the emerging area of disease management.
The combination of one of the country's largest PBMs with a leader in specialty pharmacy services marks yet another chapter in the life of Medco, which was spun off from Merck & Co. in 2003 after 10 somewhat controversial years under the pharmaceutical company's management.
PBMs manage prescription drug benefits for private health plans, earning much of their revenue by negotiating rebates on large volume orders with pharmaceutical companies-a highly scrutinized relationship....
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