Richards Group Inc. Announces Acquisition of the CPG Assets of PharmaSystems Inc.
Rhea-AI Summary
Richards Group Inc. (TSX: RIC) announced on April 30, 2026 that its subsidiary Healthmark Services Ltd. will acquire the consumer packaged goods assets of PharmaSystems Inc. ("PSI CPG") effective May 1, 2026 for a purchase price of $13.5 million.
The purchase is financed by a $12.0 million draw on the revolving credit facility and a $1.5 million vendor holdback. The company says the acquisition is expected to be accretive to earnings in 2026 and expands Healthmark into front-of-house pharmacy product offerings.
Positive
- Acquisition adds a leading CPG portfolio focused on pharmacies and retailers
- Purchase price of $13.5 million for tangible CPG assets
- Company expects the deal to be accretive to earnings in 2026
Negative
- Transaction financed by a $12.0 million draw on the revolving credit facility, increasing drawn debt
- Vendor $1.5 million holdback remains outstanding until conditions are met
News Market Reaction – RPKIF
In the May 12 session, RPKIF declined 3.43%, reflecting a moderate negative market reaction.
Data tracked by StockTitan Argus on the day of publication.
AI-generated analysis. How Rhea-AI works. Not financial advice.
Toronto, Ontario--(Newsfile Corp. - April 30, 2026) - Richards Group Inc. (TSX: RIC) (the "Company") announces today an acquisition to add to its healthcare line up.
Effective May 1, 2026, the Company, through its subsidiary, Healthmark Services Ltd., is acquiring the assets of PharmaSystems Inc.'s consumer packaged goods division ("PSI CPG"), a leading provider of essential over-the-counter health and wellness products to major pharmacies and retailers across Canada. The purchase price of
"We are pleased to welcome the PharmaSystems CPG business into Healthmark, the pharmacy-focused subsidiary of Richards Group. This acquisition will allow us to pursue growth in front-of-house offerings for pharmacies and the product set gives us a strong foothold relative to our otherwise back-of-house focused portfolio. Congratulations to the team on both sides that worked to bring our businesses together," commented John Glynn, CEO of the Company
"PharmaSystems is thrilled to be placing the trust and guidance of our CPG business and brands into the hands of Healthmark. Having known Healthmark for over 20 years, we are delighted that they will be growing the brands and breadth of products, taking them into their next chapter in the Canadian retail market," commented Debbie Greenspoon, President and founder of PharmaSystems Inc.
NewPoint Capital Partners Inc. acted as M&A advisor to the Company and Bloom Burton & Co. acted as M&A advisor to PharmaSystems Inc.
Details of the Company's results are currently available on the Company's website at www.richardsgroup.com and on SEDAR+ at www.sedarplus.ca.
About Richards Group Inc.
Founded in 1912 and headquartered in Mississauga, Ontario, Canada, Richards Group operates across two core segments, Healthcare and Packaging, serving a global customer base with market leading medical devices, supplies, and equipment, as well as a diverse offering of glass and plastic packaging solutions. Richards is the largest Canadian distributor in aesthetic, pharmacy, and vision care devices, the third largest in Canadian packaging, and is newly developing a medical device global OEM footprint. The company differentiates itself through product innovation, high touch service, and deep industry expertise. For more information, visit richardsgroup.com.
About PharmaSystems Inc.
Founded in 1977 and headquartered in Markham, Ontario, Canada, PharmaSystems Inc. is a distributor of both behind the counter supplies for pharmacy and hospital operations and over-the-counter high-quality CPG products sold in retail and pharmacy locations as branded and white label products. The PharmaSystems Brand and white label products are industry leading among the Medication Compliance, Eye/Ear, Infant Care, Hot / Cold categories offering retailers from coast-to-coast a diverse and expansive range of best-in-class products.
For more information, visit pharmasystems.com.
FOR MORE INFORMATION, CONTACT:
| John Glynn President and Chief Executive Officer Richards Group Inc. jglynn@richardsgroup.com | Enzio Di Gennaro Chief Financial Officer Richards Group Inc. edigennaro@richardsgroup.com |
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/295364