Amazon to Buy One Medical for $3.9 Billion in Healthcare Deal |

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One Medical offers healthcare services in person and provides access to virtual care. A One Medical practice in Park Slope, Brooklyn.

Photo:

Stephanie Aaronson/WSJ

Updated July 21, 2022 10:01 am ET

com Inc. has agreed to buy

which operates a primary-care practice under the name One Medical, for $3.9 billion, including debt, the retailing giant’s latest foray into the healthcare space.

Amazon on Thursday said it is paying $18 a share in cash for the San Francisco-based 1Life Healthcare. Amazon said the total deal value includes One Medical’s debt.

One Medical is a membership-based primary-care practice with offices in 12 major U.S. markets, according to its website. It offers healthcare service in person and provides access to virtual care as well. It works with more than 8,000 companies to provide One Medical health benefits to their employees.

“We think health care is high on the list of experiences that need reinvention,” said

Neil Lindsay,

senior vice president of Amazon Health Services. “We see lots of opportunity to both improve the quality of the experience and give people back valuable time in their days.”

Once the deal closes, One Medical Chief Executive

Amir Dan Rubin

will remain as CEO of the business.

The deal price marks a roughly 77% premium, based on where shares of 1Life Healthcare closed on Wednesday.

Shares of 1Life Healthcare rose 67% to $17.03 in early trading Thursday. Amazon shares fell slightly to $122.32.

Write to Will Feuer at will.feuer@wsj.com

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