News

Be In The Know

Rexall Takeover Shakes Up Canada's Drugstore Industry

April 15, 2016

When you think drugstore cosmetics, beauty boutiques, Shoppers Drug Mart is most likely going to pop up in your mind. However, we've heard some interesting news about the Rexall pharmacy chain which might change the drugstore industry! Below is an article from the Globe and Mail written by Marina Strauss:

U.S. health-care-services giant McKesson Corp. is taking on the heavyweights of Canada’s drugstore industry with a $3-billion deal for the Rexall pharmacy chain and related companies.

McKesson of San Francisco, which already owns smaller drugstores in Canada and supplies drugs to Rexall and other pharmacies, is adding to its size and buying power by acquiring the 470 Rexall stores. It gives Rexall more heft in its fight with industry leader Shoppers Drug Mart, which was acquired by grocery titan Loblaw Cos. Ltd. for $12.4-billion two years ago.

The move also potentially puts more pressure on smaller regional players and independents, many of which are supplied by McKesson and see it becoming an even bigger retail competitor with the latest deal. At the same time, all pharmacies are feeling the pinch of provincial generic drug reforms that squeeze drugstore profits. Read More

How do you think this will impact the industry, and how your customers will shop? Let us know in the comments below!

© 2016 - The Globe and Mail - www.theglobeandmail.com


Leave a Comment
Your comment will go through an approval process and may not be visible to the public right away.
Testimonial
“This training course is an excellent idea and it's a very unique way to get to know clients, as well as the business. This will benefit both clients and employees. The colour assessment was not only fun but very helpful too. It should be easy to connect with every day life - thank you Mickey!”
Sheelagh, Hudson's Bay Beauty Consultant
Subscribe to our Newsletter: