Best Buy has signed a definitive agreement to acquire GreatCall, Inc. for $800 million in cash.
GreatCall is a provider of connected health and personal emergency response services to the aging population, with more than 900,000 paying subscribers, according to Best Buy. GreatCall is said to have annual revenue in excess of $300 million.
The company’s customer care services are said to help older consumers stay independent longer, provides peace of mind to family caregivers and reduces health care costs. It offers a combination of mobile products and connected devices tailored for aging consumers. GreatCall has a range of services, including a simple, one-touch connection to trained, U.S.-based agents who can connect the user to family caregivers, provide general concierge services, answer service-related questions and dispatch emergency personnel.
Best Buy said the acquisition is a manifestation of the Best Buy 2020 strategy to enrich lives through technology by addressing key human needs. It is specifically focused on addressing the growing needs of the aging population with the help of technology products, services and solutions.
“We know technology can improve the quality of life of the aging population and those who care for them,” said Hubert Joly, chairman and CEO of Best Buy. “Now, we have a great opportunity to serve the needs of these customers by combining GreatCall’s expertise with Best Buy’s unique merchandising, marketing, sales and services capabilities. We look forward to working closely with GreatCall and are excited by the opportunities we have in the health space and the strengths we can bring to bear in this area, especially our experience with technology and serving customers in their home.”
GreatCall will maintain its San Diego headquarters, as well as its care centers in Carlsbad, California, and Reno, Nevada. David Inns, who has been with GreatCall since its formation in 2006, will remain as CEO.
The transaction is subject to regulatory approvals and other customary closing conditions and is expected to close by the end of Best Buy’s fiscal 2019 third quarter.