Amazon.com Inc said on Thursday that it would buy online pharmacy PillPack for an undisclosed amount, sending shares of drug distributors and drug retailers down.

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Drug retailers CVS Health and Walgreens Boots Alliance plunged 7 percent each in premarket trading. Shares of drug wholesalers Mckesson Corp, Cardinal Health and AmerisourceBergen were also down. 

Amazon, Berkshire Hathaway and JPMorgan announced a joint venture in January, saying U.S. healthcare costs were rising too fast and holding back economic growth. The three companies said they would use big-data analysis and other high-tech tools to improve care and cut waste.

Walmart Inc was looking to buy PillPack for under $1 billion, CNBC had reported in April. 

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Privately-held PillPack caters to patients who take multiple daily prescriptions and delivers medications in pre-sorted dose packaging and coordinates refills and renewals. 

The deal is expected to close during the second half of 2018.