By Jamie Martin
Cencora and Covetrus have entered into a definitive agreement that will combine Covetrus and MWI Animal Health into one expanded animal health company. The merger is expected to create a comprehensive platform designed to serve veterinarians, livestock producers, manufacturers, distributors, and pet owners more effectively.
"Our mission has always been to empower veterinary practices to work smarter and deliver better care," said Ben Wolin, President and Chief Executive Officer of Covetrus.
"By bringing MWI's strong distribution capabilities and expertise to our business, we can offer more solutions to more customers, improve logistics, create savings and develop innovative new ways to support the animal health ecosystem, including veterinarians, producers, dealers, manufacturers, distributors and pet parents," said Wolin.
“This combination is about making animal healthcare more affordable and accessible, and we remain committed to driving innovation across the industry," said Wolin.
The partnership combines MWI’s strong supply chain and distribution capabilities with Covetrus’ technology-based solutions for veterinary practices.
"As the animal health sector has grown and developed, so too have the needs of MWI's stakeholders. This transaction positions MWI for success with a partner strategically focused on and dedicated to animal health, while allowing Cencora to further invest in our key growth priorities," said Bob Mauch, President and Chief Executive Officer of Cencora.
"By joining with Covetrus, MWI will continue its longstanding 50-year legacy of providing exceptional service and efficiency to the animal health industry said Mauch.
Leaders from both organizations said the goal is to help veterinary professionals work more efficiently while improving access to essential animal health products and services. The combined organization aims to make animal healthcare more affordable and widely available across different markets.
The new platform is expected to drive operational efficiencies by integrating logistics, pharmacy services, and practice management tools. These improvements may help reduce costs and support business growth for veterinary practices while also benefiting animal owners through improved service delivery.
Another important focus of the merger is innovation. As animal health manufacturers continue developing new products, the expanded company plans to provide better support for product launches and adoption across the industry. This could improve access to advanced treatments and technologies for both companion and production of animals.
Financially, the transaction values MWI Animal Health at $3.5 billion. Cencora will receive $1.25 billion in cash, $800 million in preferred equity, and $1.45 billion in common equity, giving the company a 34.3% non-controlling ownership stake in the combined organization. The transaction will move forward after meeting customary regulatory approvals and closing conditions.
Cencora also noted that its fiscal 2026 financial guidance does not currently include the closing of this transaction. Overall, the merger reflects a major development in the animal health sector, aiming to strengthen supply chains, expand innovation, and improve care outcomes for animals while supporting the professionals who care for them.
"MWI and Covetrus share a common vision to support our customers, manufacturer partners and innovators to advance animal care. The combination of MWI's supply chain expertise, innovation and trusted customer relationships in companion and production animal health with Covetrus' tech-enabled solutions for veterinarians will equip us to more effectively serve all our stakeholders," said Steve Shell, SVP and President, MWI Animal Health.
"On behalf of MWI, I am excited for our teams to come together and advance our shared mission of improving outcomes for animals and the experiences of their caregivers,” said Shell.
Photo Credit: istock-dusanpetkovic
Categories: National