Best Buy recently announced that it has divested Current, a company it acquired for approximately $400 million in 2021, back to co-founder Christopher McGhee. This move signifies a strategic shift in the electronics retailer’s healthcare segment, which still includes its Lively senior support brand and emergency response devices.
During its ownership of Current, Best Buy had entered into partnerships with health systems such as Mass General Brigham, Geisinger, and Atrium Health to support hospital-at-home programs. However, the in-home health business faced challenges in scaling as health systems navigated financial uncertainties and the future of the federal government’s hospital at home waiver remained uncertain.
In response to these challenges, Best Buy CEO Corie Barry announced a restructuring of the health unit, resulting in $109 million in charges in the first quarter. Additionally, the retailer reported a non-cash goodwill impairment charge of $475 million in its fourth quarter, reflecting a revision in the long-term financial projections for its health segment.
Despite these changes, Best Buy remains committed to its healthcare offerings, focusing on innovative solutions to meet the evolving needs of consumers. The decision to divest Current highlights the company’s strategic realignment and dedication to delivering value in the healthcare space.
As Best Buy navigates the shifting landscape of the healthcare industry, it continues to explore new opportunities for growth and innovation. With a strong foundation in technology and consumer electronics, the retailer is well-positioned to drive meaningful impact in the healthcare market.
For more updates on Best Buy’s healthcare initiatives and industry insights, stay tuned for future announcements from the company. Your feedback is valuable to us as we strive to provide you with relevant and informative content. Thank you for your continued support.
