McKesson To Combine Tech Solutions Business With Change Healthcare To Create New Company

McKesson Corp. announced Tuesday an agreement to with software and analytics company Change Healthcare Holdings Inc., in which it will combine its technology solutions business with Change Healthcare to create a new separate healthcare information technology company. McKesson will own 70% and Change Healthcare will own 30% of the new entity, with fiscal 2016 combined revenue of $3.4 billion. "This is a bold, innovative transaction that creates a company with an enhanced ability to help customers address their increasingly complex financial and clinical challenges," said McKesson Chief Executive John Hammergren. Separately, McKesson said it was exploring strategic alternatives for its enterprise information solutions business. McKesson's stock, which was still inactive in premarket trade, has dropped 12% year to date, while the S&P 500 has slipped 2.1%.