CVS Health will buy Omnicare in a deal valued at about $12.7 billion in move to expand its pharmacy services reach into assisted living and senior care facilities.

Woonsocket, Rhode Island-based CVS Health will pay $98 per share for Cincinnati-based Omnicare, a 6. 1 percent premium to its closing price Wednesday. The deal also includes about $2.3 billion in debt.

CVS Health, formerly called CVS Caremark, runs one of the biggest pharmacy benefits management operations along with its drugstores. Omnicare has about 13,000 employees at 160 locations in 47 states.