McKesson Corp. has agreed to pay $2.49 billion in cash for a controlling interest in Community Oncology Revitalization Enterprise Ventures LLC (Core Ventures), a business and administrative services organization that was established by Florida Cancer Specialists & Research Institute, a physician-owned community oncology practice. FCS physicians will continue to retain a minority interest in Core Ventures.
Core Ventures provides operational and advisory support services to the nearly 100 FCS clinics throughout the state of Florida. It helps align the varied practice locations, ancillary services, and patient care across FCS service lines by providing enterprise-wide management services.
Irving, Texas-based McKesson will own approximately 70% of the company. Following completion of the transaction, Core Ventures will be part of the Oncology platform, and financial results will be reported within McKesson’s US Pharmaceutical segment. FCS, a practice with more than 250 physicians and 280 advanced practice providers, across nearly 100 locations in Florida, will remain independently owned and FCS will join McKesson’s The US Oncology Network, an oncology organization dedicated to advancing local and affordable cancer care and better patient outcomes.
“This milestone marks an important step forward in our efforts to advance community-based oncology care,” said Brian Tyler, chief executive officer of McKesson, in a statement. “By growing our Oncology platform, we will bring advanced treatments and improved care experiences to patients, while also reducing the overall cost of care. FCS and Core Ventures’ expertise and patient-first approach align with our commitment to accelerating clinical development, improving patient outcomes, and expanding access to quality cancer care in the community. We are also pleased to welcome Florida Cancer Specialists & Research Institute to The US Oncology Network, reinforcing our dedication to empowering community-based providers to independently thrive in today’s rapidly evolving healthcare landscape.”
“This is a historic moment for FCS and reflects the evolution of our practice and the forward-thinking of physician leadership, our board, and the entire organization at large,” said Nathan Walcker, chief executive officer of FCS, in a statement. “The US Oncology Network and FCS share a mission and we both aim to strengthen patient-centered cancer care in the community to improve outcomes. We are thrilled to partner with McKesson and join The Network, which furthers the joint commitment to bringing the best medicine and innovation for patients into communities across Florida.”
The transaction is subject to customary closing conditions, including regulatory clearances.
