Amazon has agreed to acquire primary care network One Medical for $18 per share, valuing the company at $3.9 billion.
According to Bloomberg, the all-cash deal for San Francisco-based One Medical comes after months of speculation about a potential acquisition, which reportedly sparked interest from companies including CVS Health.
Analysts say potential buyouts for One Medical, which has grown rapidly since it was founded in 2007, could come at a significant premium.
Amazon's price of $18 per share represents a 43% premium to its closing price of $10.18 per share on Wednesday.
Amazon is elbowing into the healthcare industry to reduce rapidly rising costs, including health benefits for employers.
Two years ago, the e-commerce giant launched a hybrid care program for employers, which includes a virtual care element linked to personalized care in specific locations.
Although Amazon expanded the virtual care program nationwide in February, its personal benefits have lagged, with nearly 30 U.S. services by the end of this year. To be introduced in cities.