Midwest, September 2022 – Harbor Healthcare Consultants is pleased to announce the successful sale of Custom Rx 503A compounding pharmacy serving patients across 42 states with annualized profits in excess of $5 million. The transaction brings together two prominent pharmacies with extensive synergies creating tremendous value to both parties. Compounding pharmacy is a highly competitive segment of healthcare and the acquirer sought access to new geographic regions, patients and providers.
“The team at Harbor Healthcare presented us with great offers from several highly-qualified buyers. Each of them provided a different valuation and opportunity for us.” said the sellers. “Many of our shareholders were pursuing specific goals with the sale and it created challenges in identifying a buyer that captured everyone’s objectives, however, Harbor did an outstanding job negotiating and guiding the parties through the transaction. They worked relentlessly during the entire process and we are very pleased with the outcome, both in terms of valuation and opportunity. They truly understand the mechanics and psychology of the sale process.”
The existing team members at the pharmacy will remain in place, ensuring the continuation of excellent service while improving retention of patients and providers.
“The company we acquired fit squarely within our strategic plan, with products and skills we can immediately leverage. Keeping the senior team in place was also critical, due to their extensive knowledge and deep relationship with their patients and providers. Harbor understood this, and the Harbor team’s knowledge of the space and transaction experience was invaluable in our completing the acquisition.” said the CEO of the acquiring pharmacy.
“Exiting a healthcare company during a pandemic is a once in a lifetime opportunity. The compounding pharmacy sector is in the midst of a consolidation wave and owners are in a rare position to capitalize on unique opportunities. With USP standards in flux and the FDA continually altering the competitive landscape, a comprehensive strategy is more important now than ever. Identifying the right partner that connects all the priorities of stakeholders and offers an attractive value is not easy. This partnership brought together two well-suited parties that committed deeply to a single outcome. Creating value for our client is an outstanding reward and we are always honored to be a part of it. We look forward to the continued success of the organization.” said Mark Alford, Managing Director for Harbor Healthcare Consultants.
About the Selling Compounding Pharmacy
The premier Midwest compounding pharmacy for decades, utilizing the latest processes, facilities and technologies to ensure quality and service. Their mission is to provide individualized patient care with the highest quality medication and solutions for practitioners and patients through sterile and non-sterile applications. The pharmacy is a PCAB accredited compounding pharmacy and a member of PCCA®.
About the Acquiring Pharmacy
The acquirer is a 503A compounding pharmacy specializing in compounded oral, sublingual, topical and injectable dosage forms. The pharmacy is licensed in all 50 states and provides medication for hormone replacement therapy, anti-aging and integrative therapies.
About Harbor Healthcare
Harbor Healthcare is a boutique M&A advisory firm offering services to middle market healthcare and pharmacy businesses since 1995. The company provides perceptive strategic solutions to independent owners and investors of long-term care, specialty, home infusion, compounding (503A and 503B) and 340B pharmacies. A pharmacist-founded firm comprised of bankers and healthcare entrepreneurs, Harbor offers unparalleled regulatory and advisory expertise while maintaining unshakeable business relationships with strategic, private equity and independent acquirers. For more information, please contact Mark Alford, Managing Director for Harbor Healthcare (619) 535-9005 or visit https://www.harborhealthcare.com.
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