Retail News Breaks
Medical Pharmacies Group to buy specialty Rx, medical supplies seller
September 16th, 2013
PICKERING, Ontario – Medical Pharmacies Group Ltd. (MPGL) plans to acquire Desjardins Healthcare Group, a leading wholesaler and retailer of specialty pharmacy services, medical supplies and equipment in Ontario.
Terms of the agreement, announced Monday, weren't disclosed. Medical Pharmacies, which has 38 pharmacy locations in Ontario and British Columbia, is Canada's largest provider of pharmacy services to long-term care facilities and retirement homes.
Medical Pharmacies said the deal will expand its footprint in Eastern Ontario and add a broad range of new health care products and services. The combined company will have more than 1,000 employees, with operations in Ontario and British Columbia.
"This is a major step in achieving our vision to become a leading national provider of specialty pharmacy and health care products and services," Ed Jamieson, president and chief executive officer of Medical Pharmacies Group, said in a statement. "We welcome Desjardins Healthcare Group and its employees to MPGL and look forward to working together to maximize the opportunities made possible by joining forces."
Medical Pharmacies noted that the combination of the two companies gives their customers a single, comprehensive source for pharmacy, medical and home health care products and services, rather than having to deal with multiple providers.
Through its operating units Desjardins Pharmacy and Ontario Medical Supply, Desjardins Healthcare Group brings "significant experience and presence" in home infusion therapy, total parenteral nutrition, and medical products and equipment services, including home oxygen, wound care and pressure management, mobility, incontinence, and home health care products, according to Medical Pharmacies.
Pending regulatory approval, the acquisition is slated to close on Oct. 31. Plans call for Desjardins Healthcare Group's owners to have an equity stake in Medical Pharmacies and the Desjardins' medical supply and equipment business to operate under the name Ontario Medical Supplies Inc.
Together, the companies' products and services will reach more than 45,000 seniors in long-term care and retirement homes and thousands more receiving care through the Ontario Community Care Access Centres' Home Care Program, the companies said.
"Joining forces will enable us to offer the most comprehensive suite of pharmacy services and medical products available in Canada," stated Jean Desjardins, managing partner for Desjardins Healthcare Group. "We look forward to the opportunity to bring our experience and knowledge to the group's many clients, which will result in innovative and cost-effective health care solutions."
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