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Evolent Health’s share price skyrocketed after a possible acquisition of Walgreens was reported

Frank Williams, CEO of Evolent Health, will ring the ceremonial bell on the floor of the New York Stock Exchange on Friday, June 5, 2015, to celebrate the first transaction during his company’s IPO.

Richard Drew | AP

Evolent Health Shares surged 18% in Wednesday afternoon trading after Bloomberg reported: Walgreens-Boot Alliance I was considering acquiring a healthcare IT services company.

In trading, Evolent shares reached a 52-week high of $ 31.88, after which the share price returned to around $ 29, up more than 7%. Walgreens’ share rose by less than 1% in the report.

Founded in 2011 and released just four years later, Evolent Health has been forced to sell its company by activist investor Engaged Capital. The company’s stock rose 82% this year to a market value of $ 2.56 billion.

In the case of Walgreens, the potential acquisition could allow pharmacy chains to outperform the competition in drugstore space, as retail businesses are increasing online sales of basic products such as shampoos and makeup.rival CVS We acquired insurance company Aetna in 2018 and have been even more committed to providing healthcare services since then.

Former earlier this year Starbucks Executive Ros Brewer commanded Walgreens. On September 21, the company announced that it would invest nearly $ 1 billion in the specialized pharmacy company Shields Health Solutions.

Walgreens and Evolent Health did not immediately respond to CNBC’s request for comment.

Evolent Health’s share price skyrocketed after a possible acquisition of Walgreens was reported

Source link Evolent Health’s share price skyrocketed after a possible acquisition of Walgreens was reported

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