McKesson Provider Solutions Acquiring CoverMyMeds

McKesson announced that its Provider Solutions Division plans to acquire CoverMyMeds, a maker of technology that automates prior authorizations for pharmacies, payers, prescribers, and pharmacy benefits managers. The $1.1 billion initial payment may be supplemented by an additional $270 million depending on CoverMyMeds' financial performance over the first two years. The deal is scheduled to close in early summer, 2017.

CoverMyMeds will operate as an independent business, headquartered in Columbus, Ohio. The division plans to continue developing tools to help those in the health care system manage administrative costs and efficiency.

McKesson is the oldest and largest health care . . .