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Target has agreed to sell its pharmacy and clinic business to CVS Health.
The country’s second-largest drug store chain will pay nearly $2 billion for both of Target’s in-store health operations, according to a statement released Monday by both companies.
CVS Health is purchasing more than 1,660 pharmacies and an estimated 80 clinics in 47 states, including California. The clinics will be rebranded as MinuteClinics, said Molly Snyder, Target spokeswoman.
CVS Health, which is looking to serve more people through a new retail venue, plans to open 20 more clinics in Target stores within three years.
Both companies also agreed to develop five to 10 small format stores over the next two years. Those locations will be called TargetExpress stores and will feature a CVS Pharmacy inside.
Minneapolis-based Target operates nearly 2,000 stores throughout the United States, all but a few of which have a pharmacy, Snyder said.
Target operates about 250 stores in California, including 31stores Riverside and San Bernardino counties. The Inland locations include Super Targets in Hesperia, Indio and Murrieta, according to the Target website.
CVS Health is based in Woonsocket, R.I. It operates more than 7,700 CVS Pharmacy and Longs Drug Stores throughout the United States, according to the company’s website.
The sale to CVS is subject to federal approval. That process could be completed by early next year, Snyder said.
