CVS' Omnicare unit has secured court approval to sell its business to virtual care company GenieRx Holdings, the healthcare giant announced Thursday.
GenieRx, which offers an array of virtual health and medication services, is a joint partnership between Milrose Capital, a private equity firm, and Integro Asset Management, a healthcare-focused investment firm. Per court documents, the deal includes $250 million in cash as well as certain other liabilities, such as payroll expenses.
In the announcement, CVS said that in combining with GenieRx, Omnicare will "have the opportunity to strengthen its service." It will also continue to support it current clients in the lead up to closure, which is expected later this year, pending needed regulatory approvals.
"Today’s approval marks an important milestone," said David Azzolina, president of Omnicare. "We are entering this next phase with clarity on what matters most: delivering reliable pharmacy services, maintaining safe and clinically appropriate care, and being transparent and fair in how we operate."
"Our teams continue to show a deep commitment to our customers, and I am grateful for the work they do every day to support residents in skilled nursing and assisted living settings," Azzolina said.
Omnicare filed for bankruptcy in September as it navigated ongoing legal challenges. Earlier in 2025, a federal jury ruled that the company, which provides pharmacy services to long-term care facilities, had made millions of fraudulent prescription claim submissions.
Ultimately, the jury determined that 3.3 million submissions made between 2010 and 2018 were fraudulent, and the courts later ordered Omnicare to pay $948 million in fees and damages.
CVS acquired Omnicare in 2015, and the jury determined that it incentivized Omnicare to submit 1 million of the fraudulent claims in question, though it was ruled that there was no injury to the government related to those claims.
As part of the bankruptcy proceedings, Omnicare said it intended to secure $110 million in debtor-in-possession financing that it would put toward ensuring it could continue business functions. The company also said it intended to use the bankruptcy proceedings to evaluate future options, such as a sale or restructuring.
Rowan Farber, CEO of Integro Healthcare Services, said in the announcement that the GenieRx and Omnicare teams "share a commitment to delivering reliable service, clinical expertise, and continuity of care to the patients and communities who depend on it most."
"GenieRx’s investment in Omnicare is a testament to the strength of their platform and their impressive employee culture and commitment to putting patients and customers first,” said Farber. “We admire the trust Omnicare has earned with its customers over decades of serving skilled nursing and assisted living partners, and we look forward to working collaboratively with their team to continue building on that strong foundation and legacy. "