CareRx Corporation (TSX: CRRX) announced today an agreement with Rexall Pharmacy Group to acquire a portion of the latter’s long-term care pharmacy services business. The company expects to add 4,200 residents serviced upon the closing of this transaction.
Under the terms of the transaction, CareRx will acquire a pharmacy fulfillment centre in Sudbury, Ontario, and a portion of the long-term care pharmacy business that serves congregate care settings across Ontario and Alberta. Should the transaction be successful, CareRx expects to be servicing over 90,000 residents across all of its facilities within Canada.
The acquisition of the assets is to consist of a single $3.5 million cash payment, which is to be satisfied via cash currently on hand.. This transaction follows the closing of the agreement to acquire SmartMeds Pharmacy, in a transaction valued at $4.5 million that saw the company acquire access to 2,400 residents in long term care.
The company expects the transaction to close in June or July 2021.
CareRx Corporation last traded at $6.22 on the TSX.
Information for this briefing was found via Sedar and CareRx Corp. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.
