Washington-based pharmacy and medication management solutions company CarepathRx plans to acquire part of the University of Pittsburgh Medical Center's (UPMC's) Chartwell pharmacy subsidiary in a $400 million deal, it was announced Tuesday.
As part of the agreement, CarepathRx plans to acquire the management services organization responsible for the operational and strategic management of Chartwell, officials said.
UPMC will become a strategic investor in CarepathRx.
CarepathRx was founded in 2019 by healthcare exec John Figueroa and middle-market private equity firm Nautic Partners LLC to offer pharmacy solutions to patients undergoing complicated medication therapies.
CarepathRx focuses primarily on working with the most vulnerable patients undergoing specialty and infusion therapies, often for a variety of chronic conditions. CarepathRx works with health systems, community physicians, home health agencies and payers and delivers services to more than 600 hospitals across the country. Officials said the deal would "expand patient access to innovative specialty pharmacy and home infusion services."
"Our partnership with UPMC and Chartwell is an important step for CarepathRx," said Figueroa, CEO of CarepathRx, in a statement. "We set out to create a new approach to pharmacy care in the market—one that is centered on the patient and that works collaboratively with both the provider and the payor of health care. We welcome the team at Chartwell to the CarepathRx family and are thrilled to partner with UPMC to help us achieve our mission."
Figueroa has held multiple high-profile healthcare leadership roles, including CEO of Genoa, Apria Healthcare Group and Coram LLC, which was sold to CVS Caremark for $2.2 billion in 2012.
CarepathRx officials said they are helping health systems build integrated pharmacy capabilities, which puts them in a position to expand access to healthcare services, improve clinical and patient outcomes and generate new revenue streams. "We are committed to helping health systems transform their pharmacy operations by becoming an integral component of managing their patients' health care relationships," said Randy Hyun, chief operating officer of CarepathRx, in a statement.
The deal is expected to close within 30 days. Cantor Fitzgerald & Co. served as financial adviser to Chartwell in the formation of the management services organization and partnership with CarepathRx.