McKesson to acquire controlling interest in Florida Cancer Specialists & Research Institute’s Core Ventures
McKesson has signed a definitive agreement to acquire a controlling interest in Community Oncology Revitalization Enterprise Ventures (Core Ventures). Core Ventures, a business and administrative services organization, was established by Florida Cancer Specialists & Research Institute, a leading physician-owned community oncology practice. FCS physicians will continue to retain a minority interest in Core Ventures.
McKesson will purchase its controlling interest for approximately $2.49 billion in cash, which will represent approximately 70% ownership. Following completion of the transaction, Core Ventures will be part of the Oncology platform, and financial results will be reported within McKesson’s U.S. Pharmaceutical segment.
Following the close of the transaction, 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 U.S. Oncology Network (The Network), a leading oncology organization, dedicated to advancing local and affordable cancer care and better patient outcomes.
[Read more: McKesson launches Project Oasis]
“This milestone marks an important step forward in our efforts to advance community-based oncology care,” said Brian Tyler, CEO of McKesson. “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 U.S. Oncology Network, reinforcing our dedication to empowering community-based providers to independently thrive in today’s rapidly evolving healthcare landscape.”
FCS has provided exceptional care to cancer patients for over 40 years. During that time, services have grown to include clinical trials, diagnostic imaging, medical oncology and chemotherapy infusion, integrative therapy, molecular and pathology lab services, radiation oncology, next-generation sequencing, medically integrated dispensing and data services. FCS currently conducts clinical trials through Sarah Cannon Research Institute, one of the world’s leading oncology research organizations conducting community-based clinical trials. By joining The Network, FCS will have access to McKesson’s differentiated Oncology platform, including best-in-class oncology care products and services.
“Above all else, our patients are the true beneficiaries of this transaction, as we seek to drive meaningful outcomes and deliver sustained value with every interaction. Through the power of our combined operational expertise, we can bolster community oncology's role in increasing access to high-quality, affordable care,” said Lucio Gordan, president and managing physician at FCS.
[Read more: McKesson wraps up ideaShare with new initiative]
“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, CEO of FCS. “The U.S. 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.”