New pharmacy, PBM alliance comes to fruition in AllianceRx Walgreens Prime
DEERFIELD, Ill. — The deal between Walgreens and pharmacy benefit manager Prime Therapeutics to form a combined central specialty pharmacy and mail services company has been closed, the companies announced Monday.
The new company, to be named AllianceRx Walgreens Prime, will be led by Joel Wright as CEO and headquartered in Orlando, Fla. Wright, a 25-year Walgreens veteran, was divisional VP for Walgreens specialty solutions.
“I’m honored to have the opportunity to lead this innovative company, and with a strong leadership team and experienced employees, we’ll be well positioned to meet the evolving prescription drug needs of consumers,” Wright said. “Leveraging Walgreens pharmacy network and operational efficiencies, along with the pharmacy benefit management expertise of Prime, we have the resources to deliver better care coordination, patient outcomes, and exceptional care and service to patients and payers.”
"Already, the retail pharmacy network agreement component of our alliance is yielding considerable savings for our plans and their members, as fully 50% of Prime's members have transitioned into a network anchored by Walgreens," stated Jim DuCharme, Prime president and CEO. "We have built a powerful team of leaders at our joint company with the experience to deliver efficiencies and enhanced care coordination through our combined pharmacies."
Other executive team appointments include:
Guillermo Sollberger, COO;
Alex Katen, CFO;
Daniel Tardiff, chief legal officer;
Don Vidic, chief pharmacy and growth officer; and
Jim Adams, chief information officer.
The new long-term strategic alliance, announced in August, creates a new retail pharmacy network agreement and the combination of the companies’ central specialty pharmacy and mail service businesses between one of the largest retail pharmacies with the nation’s fourth largest PBM that's owned by 14 leading Blue Cross and Blue Shield health plans.
The retail pharmacy network agreement will give Prime’s health plan and employer clients access to the preferred Walgreens pharmacy network. Prime’s 22 million members may also benefit from personalized pharmacy services and cost saving opportunities when filling their prescriptions at Walgreens.
The companies are already providing a number of new benefits for members through the retail network component of the agreement, which took effect Jan. 1. For example, the 90DayMyWay program gives members the option of picking up 90-day prescriptions at any Walgreens location or having them delivered to their home. Additionally, Blue Cross and Blue Shield members can receive consultations from a Walgreens pharmacist upon beginning a new medication therapy, and can also receive important reminders about certain preventive health care services, such as immunizations.
Active work to unite mail services and central specialty operations will begin immediately, the companies said.
AllianceRx Walgreens Prime will manage several consolidated mail service and central specialty pharmacy operations. Its workforce of approximately 3,000 employees nationally will be comprised of current Walgreens and Prime employees, including those currently working at the existing Prime location in Orlando, Fla.
The AllianceRx Walgreens Prime brand will be rolled out in the marketplace over the coming months, the company noted.
While Prime’s pharmacies will now be part of the combined company, Prime will continue its core function of providing pharmacy benefit management services from its locations in Minnesota, Nebraska, New Mexico and Texas. Similarly, Walgreens will continue to operate its more than 230 specialty pharmacies throughout the U.S., in addition to its retail pharmacies.
Central specialty pharmacy and mail service customers of Walgreens and Prime will be seamlessly transitioned and can benefit from features such as omnichannel tools and resources to help improve medication adherence, 24/7 pharmacy support and pickup of specialty medicines at Walgreens retail locations.
AllianceRx Walgreens Prime will be consolidated by Walgreens Boots Alliance, the parent company of Walgreens, in its financial statements. Full integration is expected to be complete by early calendar year 2018.