Woonsocket, Rhode Island-based CVS Health Corporation (NYSE: CVS – $104.38) and Omnicare, Inc. announced that they have entered into a definitive agreement for CVS Health to acquire Omnicare, the leading provider of pharmacy services to long-term care facilities, for approximately $12.7 billion, which includes about $2.3 billion in Omnicare debt. Omnicare operates pharmacies at 160 nursing homes and assisted living locations in 47 states and will add about $6.7 billion to CVS’ top line. With the acquisition of Omnicare, CVS Health will significantly expand its ability to dispense prescriptions in long-term care facilities, serving the senior patient population. CVS Health will also expand its presence in the rapidly growing specialty pharmacy business, which includes last year’s acquisition of Coram, a specialty infusion service provider. Omnicare’s complementary specialty pharmacy platform and clinical expertise will augment CVS Health’s capabilities and enable the company to continue to provide innovative and cost-effective solutions to patients and payors. The deal is awaiting shareholder and regulatory approval as the boards of both companies have already signed off. Barring any setbacks, the transaction is expected to close near the end of 2015. Following the news CVS Health shares climbed over 3% to close in on its all-time high of $105.46 set back in March. The stock continues to provide good 3- to 5-year total return potential when you factor in the income component, yielding 1.4%.