Cencora and Covetrus agreed on 18 February to merge Cencora's MWI Animal Health business with Covetrus in a transaction that values MWI at an enterprise value of $3.5bn.
Why Covetrus, Inc. is buying MWI Animal Health (Cencora)
Covetrus chief executive Ben Wolin said adding MWI's distribution capabilities would let the company offer more solutions to more customers, improve logistics and make animal healthcare more affordable. Cencora chief executive Bob Mauch said the deal places MWI with a partner focused on animal health while freeing Cencora to invest in its main growth priorities.
Deal terms and financing
At closing Cencora receives $1.25bn in cash, $800m of preferred equity and $1.45bn of common equity in the combined company, giving it a non-controlling 34.3% common stake. The $3.5bn valuation exceeds Cencora's carrying value of MWI.
Regulatory approvals and timing
Completion requires regulatory approvals. Cencora's 10-Q for the quarter to 30 June 2026 says the FTC issued a request for additional information on 20 May 2026 and that it is cooperating with the review; Cencora had said its fiscal 2026 guidance did not assume closing before 30 September 2026.
Market context
Covetrus, headquartered in Portland, Maine, with more than 5,000 employees and 100,000 customers, provides software, pharmacy and services to companion, equine and large-animal vets. MWI has supplied veterinarians and livestock producers for about 50 years.
