On Monday, McKesson Corporation (NYSE:MCK), the Drug distributor, said it would acquire Rx Savings Solutions, private pharma technology company, for up to USD 875 million.

The company helps employers and health insurers seek lower cost prescription medicines. It also provides medication reminders to improve adherence to prescriptions.

McKesson’s Chief Executive Officer Brian Tyler said that Rx Savings Solutions’ offerings for patients and employers would strengthen McKesson’s ability to help solve the most common medication challenges related to access, affordability and adherence.

The transaction includes a USD 600 million upfront payment and up to USD 275 million contingent on Rx Savings’ financial performance through 2025. it is expected to finish in the second half of fiscal year 2023.

Founded by John McKesson and Charles Olcott in 1833, McKesson Corporation distributes pharmaceuticals and provide health information technology, care management tools, and medical supplies. It is headquartered in Texas, US.