For much of the last decade, compounding pharmacies encountered headwinds in the M&A markets. A combination of high government scrutiny, a few bad actors, and other challenges, resulted in suppressed demand and valuations. However now, as more companies are disrupting the traditional pharmacy service model and competition grows fiercer, acquirers are diversifying their integration strategies and expanded their acquisition mandates. Further, the augmented demand for specialty medications is forecasted to continue its rapid growth. In this new landscape, compounding pharmacies are well positioned to capitalize on the new integration models and growth.
