On July 21, local time, Amazon announced that it would acquire One Medical, a medical service provider, for a total transaction size of approximately $3.9 billion, including One Medical’s net debt. The expansion will help Amazon offer employee healthcare to a slew of employers, underscoring the tech giant’s healthcare ambitions.
In a statement, Amazon’s senior vice president of health said the user experience in the healthcare industry requires disruptive innovation.
One Medical’s main business is to provide medical services to corporate employees and individuals. Its customers include Google and Airbnb, a global short-term rental platform. After the acquisition, One Medical will become a new member of Amazon’s medical sector, which originally included online pharmacies, telemedicine and other businesses.
As of the close of the day, shares of One Medical’s parent company rose 69.45% to close at $17.25; Amazon’s shares rose 1.52% to close at $124.63.
Amazon spends $3.9 billion to acquire medical service providers in the healthcare sector. Click on the video to see what it is!