Walgreens-Backed VillageMD Buys 30-Location Physician Group In Connecticut

VillageMD, the developer of doctor practices and clinics backed by Walgreens, has acquired a big medical group in Connecticut with more than 30 locations across the state.

VillageMD Friday said it has acquired Starling Physicians, which operates primary care and multi-specialty doctor practices, for an undisclosed sum. Starling has more than 30 locations in Connecticut “offering primary care and a range of specialties including cardiology, ophthalmology, endocrinology, nephrology, and geriatric care,” the companies said.

The acquisition comes amid a flurry of acquisitions across the U.S. for doctor practices, which are being purchased at an unprecedented pace by large retailers like Walgreens Boots Alliance, CVS Health, Amazon and Walmart. Meanwhile, medical care providers owned by health insurers like UnitedHealth Group’s Optum and Cigna’s Evernorth are also in the doctor practice bidding war.

“Starling shares our vision of being a physician-led model and they provide care in a compassionate and exceptional way to all the patients they serve,” VillageMD chairman and chief executive officer Tim Barry said. “By integrating primary care with specialty care, we are able to optimize access to high-quality care for our patients. This is a natural extension of our growth in the Northeast, including our recent acquisition of Summit Health-CityMD.”

To be sure, VillageMD earlier this year purchased Summit Health-CityMD for $8.9 billion to expand doctor-staffed clinics across the country. That transaction also included investments from Walgreens, which owns more than 50% of VillageMD, and Cigna’s Evernorth Health Services.

Primary care provider Summit Health merged with CityMD in 2019 to create a company with more than 1,400 healthcare providers that offer primary, specialty and urgent care.

The addition of Starlings practices gives VillageMD a reach into nearly 700 locations across the U.S.

“Through Village Medical, Village Medical at Home, Summit Health, CityMD and other practices, VillageMD serves millions of patients throughout their lives, wherever and whenever they need care,” the company said. “Its dedicated workforce of more than 20,000 operates from 680 practice locations in 26 markets.”

Meanwhile, Walgreens and VillageMD have opened more than 200 Village Medical at Walgreens clinics attached to drugstores. Walgreens has said it hopes to open at least 600 Village Medical at Walgreens primary care practices in more than 30 U.S. markets by 2025 and 1,000 by 2027, with more than half of those practices in medically underserved communities.