Davis Polk is advising CVS Caremark Corporation on its approximately $1.25 billion acquisition of the Medicare Part D business of Universal American Corp. Upon completion of the transaction, CVS Caremark will become one of the nation’s largest providers of prescription drug services for Medicare beneficiaries enrolled in Medicare Part D. The transaction, which is expected to close by the end of the second quarter, is subject to customary closing conditions, including necessary regulatory approvals.
Woonsocket, Rhode Island-based CVS Caremark is the largest pharmacy health care provider in the United States. Universal American is a leading Medicare Prescription Drug Plan (PDP) sponsor based in Rye Brook, New York. The Davis Polk corporate team includes John A. Bick, Louis L. Goldberg, James E. Elworth and Lee Hochbaum. The tax team includes Michael Mollerus, Po Sit and M. Ryan LaRosa. Edmond T. FitzGerald and Jennifer Freiman are providing benefits advice. Michael N. Sohn is providing antitrust advice. Members of the team are based in the New York, Washington DC and Menlo Park offices.
