Shares of drugstore companies are tumbling Thursday after Amazon announced it signed an agreement to acquire online pharmacy PillPack.
Shares of Walgreens Boots Alliance and CVS Health fell 9 percent and 8 percent in Thursday’s premarket session, respectively, as investors worried Amazon may disrupt the drugstore market. Rite Aid's stock also declined 8 percent.
PillPack is an online pharmacy that packages, organizes and delivers pre-sorted doses of medications.
“PillPack’s visionary team has a combination of deep pharmacy experience and a focus on technology,” Jeff Wilke, Amazon CEO Worldwide Consumer, said in a statement. “PillPack is meaningfully improving its customers’ lives, and we want to help them continue making it easy for people to save time, simplify their lives, and feel healthier. We’re excited to see what we can do together on behalf of customers over time.”...MORE