Business Case Studies & Business Publications

Catalyst Health Solutions: A Script for ...

Harris, Robert S.,...

Case

Catalyst Health Solutions: A Script for Success?

Harris, Robert S.; Green, Rick

F-1666 | Published April 20, 2012 | 16 pages Case

Collection: Darden School of Business

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In February 2011, David Blair, CEO of Catalyst Health Solutions, was considering another acquisition. Catalyst was already the fastest-growing pharmacy benefit management company in the United States, and Blair had his eye on a subsidiary of Walgreen Co., the second-largest retail drugstore chain in the country. Walgreen Co. was focusing its corporate strategy on the retail business and had just purchased 258 Duane Reade pharmacies in New York for over $1 billion. Walgreen Co.'s subsidiary, WHI, managed pharmacy benefits and was a relatively small part of the overall company, contributing less than 2% of its bottom line. Might Walgreen Co. be interested in selling WHI?