Walgreens poised to open full-service doctor offices in Phoenix
Deerfield, Illinois-based Walgreens Boots Alliance Inc. is making plans to open full-service doctor offices within its pharmacies nationwide, starting with metro Phoenix.
Article originally posted here.
The pharmacy chain is teaming with Chicago-based VillageMD to open 500 to 700 doctor’s offices within Walgreens stores nationwide during the next five years.
Plans call for opening a handful of locations in Phoenix this year, said Tim Barry, chairman and CEO of VillageMD.
Walgreens has 240 stores in Arizona, with 170 in metro Phoenix — though not every store will have a physician office.
These store openings follow a Houston-area trial with five in-store clinics that started in November.
Walgreens is investing $1 billion in the partnership with VillageMD, Barry said, including a $250 million equity investment made on July 8. WBA is expected to hold a 30% ownership interest in VillageMD at the completion of the investment.
VillageMD will be recruiting 3,600 health care providers, including physicians, nurses and physician assistants nationwide.
Most clinics will be about 3,330 square feet each, with some as large as 9,000 square feet, optimizing existing space in the store.
This new venture follows a previous partnership where Village Medical telehealth providers are available on Walgreens Find Care, an online platform that connects patients with a wide range of health services.
VillageMD made its Phoenix debut in January when it opened its first clinic at 10240 W. Indian School Road, with more locations expected to open during the next several months.
‘Pharmacy of the future’
Walgreens isn’t shy to go big on partnerships.
In 2013, Walgreen Co. (before it became WBA) teamed with Theranos Inc. to open Theranos Wellness Centers in Walgreens stores in Phoenix.
By then, Walgreen and Theranos had an agreement for 40 stores.
At the time, Theranos was highly celebrated for innovating a quick blood test to diagnose several medical conditions. An interview with Theranos founder Elizabeth Holmes discussed her technology that only required a few drops of blood and cost less than other lab tests.
But that relationship disintegrated as the feds began questioning the validity of the Theranos technology.
By 2018, The U.S. Securities and Exchange Commission charged Theranos and Holmes with raising more than $700 million from investors through an elaborate fraudulent scheme.
With the Theranos debacle in Walgreens’ rearview mirror, the pharmacy chain is moving ahead with a new partner in VillageMD.
Stefano Pessina, executive vice chairman and CEO of Walgreens Boots Alliance, said this rollout with VillageMD advances one of the company’s four key strategic priorities.
“These clinics at our conveniently located stores are a significant step forward in creating the pharmacy of the future, meeting many essential health needs all under one roof as well as through other channels,” Pessina said in a statement.