Could There Be Another Mega Merger in Healthcare?


As healthcare retail chains continue to expand their services deeper into healthcare, another potential mega-merger is on the horizon. Bloomberg reports that VillageMD, which is majority owned by Walgreens Boots Alliance, is exploring a potential deal to merge with Summit Health, the parent company of urgent care clinic chain CityMD. If the acquisition goes through, it will value the combined entity at between $5 and $10 billion.

Talks are ongoing and could still fall through, but a deal could happen in the coming weeks. This comes amid a frenzy of M&A activity in healthcare over the past two years as major retailers like CVS, Walgreens, and Amazon ramp up their focus on providing medical services to consumers.

Operational impact

  • Is this another win for EPIC? Walgreens may consolidate everyone on epic while moving Summit and CityMD off Athena and eClinicalworks.

  • Standardizing the operating model to accommodate the clinical systems will be a huge lift and maybe change the competitive advantage that Summit health had.

  • Medicare Advantage is the game that all ambulatory organizations are looking to tap into.

  • Check out the presence of Summit Health in the NY/NJ area. Great picture from Recon Strategy.


The healthcare retail industry is seeing the potential for another large merger between Walgreens Boots Alliance and Summit Health. The acquisition would value the combined entity at $5-10 billion and could significantly impact healthcare operations. This comes as major retailers increasingly focus on providing consumers with medical services.



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