CVS Health this month entered into an agreement to purchase primary care company Oak Street Health in an all-cash deal worth $10.6 billion, but some hospital and health system CIOs say this deal isn’t transformative as it isn’t big enough to “rattle” the provider industry, Becker’s reports.
According to Saad Chaudhry, chief digital and information officer of Annapolis, Md.-based Luminis Health, the deal looks like big numbers, but compared to the 1.02 million physicians and 4.2 million registered nurses in the U.S., the deal is very unlikely to make much of a difference.
“If you take this latest Oak Street Health acquisition for $10.6 billion under consideration, you’ll note that it includes 160 centers across 20+ states — again, big numbers. Until you realize that there are over 600,000 ambulatory sites and over 6,000 hospitals in the country,” said Chaudhry. Read more.
