CVS to drop services provider Omnicare

CVS Health is "actively exploring strategic alternatives for Omnicare" after recording a pre-tax loss on assets held for sale of $2.5 billion related to the write-down of the long-term care business, according to a Nov. 2 earnings call. 

CVS bought Omnicare in 2015 for $12.7 billion in an effort to focus on its long-term care business, such as work with senior living facilities and nursing homes. 

"We continue to evaluate our portfolio strategically and are making decisions around assets that don't fit into our portfolio," Karen Lynch, president and CEO of CVS Health, said in the call. "Strategically, Omnicare is a good example of that. Bswift was a good example of that."

Bswift is a benefits technology company that CVS Health plans to sell to Francisco Partners, a technology investment firm based in San Francisco. 

The retail chain attributed most of its third-quarter losses to opioid-related settlements, which the company predicts will cost $5 billion over the next 10 years.

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