SPARTANBURG, S.C. — J M Smith Corp. plans to acquire drug wholesaler Burlington Drug Co. and certain retail operations assets of Pharmacy Health Services (PHS).
Financial terms of the transaction weren’t disclosed. J M Smith said Tuesday that Burlington and PHS will operate as subsidiaries when the agreement is finalized, which is expected in early 2017.
Plans call for Burlington to manage all operations, customer service and sales functions out of its current headquarters in Milton, Vt. PHS facilities will continue to serve customers at their current locations.
J M Smith said the addition of Burlington and PHS will enable it to expand its offerings to Northeast. Burlington customers, meanwhile, will get access to a range of new tools, services and products that can open up more growth opportunities for their businesses, according to the company.
“The Northeast has long been an important market for J M Smith Corp. We opened a regional office in New England 30 years ago for our QS/1 customers and will now be able to offer an even greater array of products and services in New England,” J M Smith chairman and chief executive officer William Cobb said in a statement. “Burlington Drug Co. will be a great addition to our business portfolio.”
Focused on pharmacy, health care and technology, J M Smith’s business units including Smith Drug Co., QS/1, Integral Solutions Group, RxMedic Systems and Integra LTC Solutions.
“Burlington Drug Co. and PHS have great people and great customers,” stated John Mitiguy, president of Burlington Drug. “We know that health care is a dynamic industry, requiring investment due to regulatory changes, demographics and technology. This marriage is an opportunity to best serve staff and customers with larger resources and capabilities.”
As part of J M Smith, Burlington’s pharmacy customers will get access to a variety of new services via Smith Drug’s HealthWise Pharmacy suite, as well as to an expanded line of products and services. The suite includes a specialty-at-retail pharmacy network, clinical solutions, consulting services, long-term care solutions, market intelligence, over-the-counter product merchandising and branding solutions, and a predictive ordering solution to help retail pharmacies optimize inventory.
“This is a great opportunity for Burlington Drug Co. and for J M Smith Corp.,” Smith Drug president Jeff Foreman commented about the merger. “As subsidiaries of J M Smith, they will be part of a great organization that has a culture that is supportive of the pharmacy industry, helping them not only maintain but grow their business in an increasingly competitive market.”