Walmart is reportedly exploring buying a majority stake in ChenMed, a closely held operator of primary care clinics for seniors, according to a Bloomberg report, which cited people familiar with the matter.
The report noted that according to people familiar with the matter, the companies are in the initial phase of discussions of ttalks for a deal that would value ChenMed at several billion dollars. "A deal could still be weeks away, the people said," per the report.
ChenMed, which is a care provider to underserved aging patients, was founded by physician Jen-Ling James Chen and run by the Chen family. The company operates on a value-based care model, offering to cover the cost of medical care for older people while taking a financial risk, the report said.
According to ChenMed's website, after a cancer misdiagnosis and frustrating experience with fee-based health care, Dr. Chen "knew there was a better way. He founded ChenMed to give seniors coordinated, VIP care in a family-centered primary care practice."
Walmart and ChenMed were not immediately available to provide a response to DSN.