Medco and Celesio Announce Pan-European Healthcare Joint Venture

Medco Celesio B.V. to be Headquartered in Amsterdam

Medco Health Solutions, Inc. (Franklin Lakes, NJ) and Celesio AG (Stuttgart, Germany), both pharmacy-focused healthcare companies, have announced a joint venture with a long-term goal of improving patient health and helping to relieve the financial burden on European healthcare customers.

Called Medco Celesio B.V., the new joint venture will be headquartered in Amsterdam and concentrate on innovative ways to improve patient care while enhancing safety and value. In particular, the venture will concentrate on patients with chronic or complex conditions, such as diabetes, asthma, high cholesterol and heart disease.

The company’s initial business model consists of three comprehensive service offerings:

• A suite of advanced clinical solutions designed to assist payors (including national health agencies, sick funds, and other authorized entities) to identify and correct clinical issues and monitor the effectiveness of their programs  
• Intensive, personalized care services for patients who take “biologics” – medications that are very expensive, difficult to administer and require special handling
• Modern, efficient, delivery infrastructure, such as mail-order pharmacies, in-home nursing support, and telephone counseling

 “Our portfolio of proven clinical solutions can be customized to address the growing demand for affordable, high-quality care that is relevant across geographic, regulatory and cultural boundaries,” said Medco Chairman and CEO, David B. Snow Jr.  “Although this will not eliminate every financial issue facing the European healthcare systems, these efficiencies represent a significant part of the overall solution.”

Medco Celesio B.V. plans to begin operations in Germany this year, with eventual expansion to all 27 EU states.

Source: Medco Health Solutions Inc.

July 26, 2010