Amazon Buys HealthCare Provider For $3.5 billion

Abdul Ghani

One Medical is an electronically enhanced healthcare chain in the United States. Amazon wants to make money there. Amazon buys One Medical for $3.49 billion in a cash transaction. This was announced by the world's largest online retailer on July 21, 2022. 1Life Healthcare, operating under the One Medical brand, is a chain of primary care clinics headquartered in San Francisco. One Medical requires a paid membership and provides primary care with personalized attention and online resources, including a mobile app.

"We believe healthcare is at the top of the list of experiences that need to be reinvented," said Neil Lindsay, senior vice president of Amazon Health Services. "Making an appointment, waiting weeks or even months, taking time off work, driving to a clinic, finding parking, waiting in the waiting room and then the exam room, and then a frantic few minutes with a doctor followed by a visit in a pharmacy - we see many opportunities to both improve the quality of the experience and give people valuable time back in their lives."

One Medical is making losses

Upon completion of the transaction, Amir Dan Rubin will remain Chief Executive of One Medical. The transaction price represents a premium of approximately 77 percent based on the closing price of One Medical's shares on Wednesday. Amazon's shares are up more than 1 percent in premarket trading at $124.40.

One Medical, which went public in 2020, operates a network of doctor's offices and also offers a range of telemedicine services. It has grown to 188 stations in 25 regions and has 767,000 paying members as of the latest quarterly results. The company reported a net loss of $90.9 million on revenue of $254.1 million for the first quarter.

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Member Of Freelancers Union (USA), Freelance Writer!, and Digital Creator. Ghani Mengal is an enthusiast Freelance blogger and digital marketer. His content has been published and featured on many popular blogs, websites, and publications. Including TeelFeed, LifeHack.org, Data-Driven Investor, TextSniper, Scientific Publication The Predict, The Startup, The Ascent, Heart Affairs, Illumination, And The List goes on.

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