Animal Health Distribution and Technology Giant Emerges: Cencora Subsidiary Merges with Covetrus for $3.5 Billion

Cencora, Inc. (NYSE: COR) and Covetrus have signed a definitive agreement to merge Cencora’s subsidiary, MWI Animal Health, with Covetrus, valuing MWI at USD 3.5 billion (approximately KRW 5 trillion). Upon closing, Cencora will hold a 34.3% noncontrolling interest in the common equity of the newly formed animal health distribution and technology company, in lieu of cash, preferred shares, and common stock. The company has reaffirmed its fiscal 2026 guidance but noted that, due to uncertainties such as regulatory approvals, the merger has not yet been factored into its 2026 outlook.

In November 2025, Cencora announced plans to invest USD 1 billion (approximately KRW 1.3–1.4 trillion) over the next five years to expand its U.S. pharmaceutical distribution infrastructure, accelerating the build-out of domestic logistics hubs and automation facilities. Cencora—formerly AmerisourceBergen—is one of the top three pharmaceutical wholesalers and distributors in the U.S., supplying hospitals, pharmacies, and healthcare institutions and operating a global supply chain. Its merger partners, MWI Animal Health and Covetrus, have established strong positions in the animal healthcare distribution and technology market, offering both animal pharmaceuticals and clinic software.