Amazon announced on Thursday that it will acquire U.S. primary health care provider One Medical for $18 per share, in an all-cash deal valued at about $3.9 billion.
"We think health care is high on the list of experiences that need reinvention… we see lots of opportunity to both improve the quality of the experience and give people back valuable time in their days," Neil Lindsay, Amazon Health Services senior vice president, said in a statement.
"Together with One Medical’s human-centered and technology-powered approach to health care, we believe we can and will help more people get better care, when and how they need it," he added. "We look forward to delivering on that long-term mission."
One Medical CEO Amir Dan Rubin will remain in his position after the deal is closed.
"The opportunity to transform health care and improve outcomes by combining One Medical’s human-centered and technology-powered model and exceptional team with Amazon’s customer obsession, history of invention and willingness to invest in the long-term is so exciting," said Rubin.
"There is an immense opportunity to make the health care experience more accessible, affordable and even enjoyable for patients, providers, and payers," he noted. "We look forward to innovating and expanding access to quality healthcare services, together."
Shares of 1Life Healthcare Inc., One Medical's parent company, opened more than 60% higher in Thursday trading after the deal was announced.
Completion of the transaction is subject to approval by One Medical's shareholders and regulatory approval.