14 Feb 2011

Radius Pharmacy takeover planned

12:18 pm on 14 February 2011

Pharmacy Brands Ltd plans to buy Radius Pharmacy for $17.1 million.

Pharmacy Brands, which comprises the Life Pharmacy, Unichem, Amcal, and Care Chemist brands, has 267 part-owned or franchised outlets throughout New Zealand.

Radius Pharmacy has interests in 34 pharmacies and has annual revenues of about $86 million.

Pharmacy Brands chief executive Alan Wham says Radius will be a strong fit for the group and improve the ability pharmacies to compete in the retail sector.

The purchase is conditional on finance arrangements and needs to be approved by Pharmacy Brand shareholders.

Shares in Pharmacy Brands fell 1 cent to 44c per share on Monday.