PharmaCorp Expands Portfolio with New Pharmacy Acquisition
PharmaCorp Announces Agreement to Acquire a Pharmacy
PHARMACORP RX INC. (“PharmaCorp” or the “Corporation”) (TSXV: PCRX) is pleased to announce that it has agreed to acquire from two arm’s length vendors a 90% interest in a pharmacy located in Western Canada. The aggregate purchase price for the 90% interest is $2,207,170, which will be funded from cash resources. This strategic acquisition represents a significant step in PharmaCorp's growth strategy.
Details of the Acquisition
A key aspect of the transaction is that the Vendors will retain a 10% interest in the Acquired Pharmacy and have committed to continuing their roles at the pharmacy. One of the Vendors is set to enter into a long-term employment agreement as the managing pharmacist. This arrangement is vital for ensuring continuity in leadership, which aligns with PharmaCorp’s overarching goal of maintaining the highest service standards and customer satisfaction.
Strategic Importance of the Acquisition
The Acquired Pharmacy marks PharmaCorp’s second major acquisition, following the successful completion of its Qualifying Transaction earlier this year. This transaction not only enhances PharmaCorp’s foothold in the pharmacy sector but also sets the stage for future growth opportunities. With the previous acquisition of a 75% interest in a pharmacy in Saskatoon, PharmaCorp is positioned to leverage its operational capabilities across multiple locations.
Company Vision and Growth Strategy
“We are excited about the acquisition of the Acquired Pharmacy, which distinctly demonstrates our commitment to delivering value to our shareholders through strategic acquisitions,” stated Al Simpson, Executive Chairperson of PharmaCorp. The retention of one of the Vendors in a management capacity reflects the organization’s dedication to preserving exceptional service standards that customers have come to expect.
Future Expansion Plans
Following the acquisition of the Acquired Pharmacy, PharmaCorp will operate two pharmacies and aims to continue acquiring independently owned and branded PharmaChoice pharmacies. This ongoing strategy is designed to enhance the company’s market presence while ensuring that all acquired pharmacies operate under the PharmaChoice brand. As part of its growth trajectory, PharmaCorp is focused on identifying further acquisition opportunities across Canada.
About PharmaCorp Rx Inc.
As a Capital Pool Company, PharmaCorp completed its qualifying transaction as defined in Policy 2.4 of the TSX Venture Exchange. This qualifying transaction included its strategic alliance with PharmaChoice Canada Inc. and the acquisition of a 75% interest in a pharmacy located in Saskatoon. With a robust expansion strategy, PharmaCorp is dedicated to increasing its portfolio and enhancing its operational prowess within the pharmacy industry.
Contact Information
For further details, please contact:
Mr. Alan Simpson
Suite #203, 303 Wellman Lane, Saskatoon, SK S7T 0J1
Tel: (306) 536-3771
Frequently Asked Questions
What is PharmaCorp's latest acquisition?
PharmaCorp has agreed to acquire a 90% interest in a pharmacy located in Western Canada.
How much did PharmaCorp pay for the pharmacy?
The aggregate purchase price for the 90% interest in the pharmacy is $2,207,170.
What role will the Vendors play after the acquisition?
The Vendors will retain a 10% interest in the pharmacy and one will continue as the managing pharmacist under a long-term employment agreement.
What other acquisitions has PharmaCorp made recently?
Prior to this acquisition, PharmaCorp acquired a 75% interest in a pharmacy in Saskatoon as part of its qualifying transaction.
What is PharmaCorp’s growth strategy moving forward?
PharmaCorp plans to continue acquiring independently owned and branded PharmaChoice pharmacies to strengthen its market presence.
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