Two news reports are moving several names in the medical supply space this morning. Namely, Amazon (AMZN) is said to be looking to expand its medical supplies business, while Walgreens Boots Alliance (WBA) has approached AmerisourceBergen (ABC) about a potential takeover. Shares of Owens & Minor (OMI), McKesson (MCK), and Cardinal Health (CAH) are all slipping following the two Wall Street Journal scoops.

AMAZON RAMPS UP IN MEDICAL SUPPLY: Amazon is seeking to expand its medical supplies business into being a major distributor to hospitals and outpatient clinics, according to The Wall Street Journal. The e-commerce giant is currently running a pilot with a Midwestern hospital system to supply its 150 outpatient facilities, the publication said. Typically, hospitals sign contracts to buy supplies directly from manufacturers or distributors like Owens & Minor, McKesson, Cardinal Health and Medline Industries.