VillageMD To Open Clinics In 500-700 Walgreens Stores

(RTTNews) - Walgreens Boots Alliance said Wednesday VillageMD will open its clinics in about 500 to 700 Walgreens stores in more than 30 U.S. markets over the next five years.

As per terms of the deal, Walgreens will invest $1 billion in equity and convertible debt in VillageMD over the next three years, including a $250 million equity investment to be completed today.

VillageMD will use 80 percent of the investment to fund the opening of the clinics and build the partnership, including integration with Walgreens digital assets.

The clinics will be staffed by over 3,600 primary care providers, to be recruited by VillageMD. Most of the clinics will be approximately 3,300 square feet each, with some as large as 9,000 square feet.

Walgreens said it will hold an about 30 percent ownership interest in VillageMD at the completion of the investment.

The clinics will accept a wide range of health insurance options, and offer comprehensive primary care across a broad range of physician services. In addition, around the clock care will be available via telehealth and at-home visit.