After a number of acquisitions and exits, a local company is changing hands again.
Following a spinoff as an individual unit from Irving-based health care technology and solutions provider McKesson, Fort Worth-based eRx Network, a payment solutions provider focused on the pharmaceutical industry, has been acquired by Change Healthcare in a $212.9 million deal.
"Bringing eRx back into the fold will enable us to leverage our combined scale, breadth of solutions, and network capabilities to increase market penetration, advance innovation, and create new opportunities," said Neil de Crescenzo, CEO and president at Change Healthcare, in a prepared statement. “eRx aligns with our strategy to reduce costs, improve outcomes, and enhance consumer engagement for our customers.”
eRx Network, formed in 2001, was originally the pharmacy unit for Change Healthcare Holdings. Then, in 2017, Change Healthcare Holdings formed a joint venture with McKesson, creating Change Healthcare. When McKesson decided to spin off the company, Change had the option to buy it back. Now, eRx is fully owned by Change.
Crescenzo said the move would allow the Nashville-based company to expand into new markets, as well as provide more services to its clients.
On the heels of the eRx deal, Change also announced selling off its connected analytics division to Chicago-based Kaufman Hall in a $55 million transaction.
eRx's technology focuses on providing pharmacy operation and efficiency through electronic prescription exchanges and co-pay assistance programs, among other things. According to MedCity News, eRx has been steadily growing over the past year, recording nearly $67 million in revenue between February 2019 and February 2020.
“Our previously stated strategic intent [is to] concentrate on the areas of our business where we can drive the greatest impact for our customers, through our Change Healthcare platform,” Crescenzo said.
