Pharmacorp Rx signs credit agreement with CIBC

Mr. Alan Simpson reports PHARMACORP RX INC. ANNOUNCES NEW CREDIT FACILITIES WITH CIBC AND UNVEILS PHARMACIST CO-OWNERSHIP FINANCING INITIATIVE Pharmacorp Rx Inc. has entered into a credit agreement with Canadian Imperial Bank of Commerce (CIBC), providing the corporation with up to $20.5-million of committed credit facilities, plus a $10-million accordion feature and a $1-million Visa credit facility. The credit facilities will support Pharmacorp's acquisition strategy and the expansion of its acquisition and operating platforms. In conjunction with the above credit facilities, CIBC is also supporting Pharmacorp's pharmacist co-ownership program through a separate $5-million credit facility, which makes loans available to pharmacists wishing to acquire an ownership position in the Pharmacorp pharmacy where they work. Credit facilities The credit facilities include: A $17.5-million committed acquisition term facility with a $10-million accordion feature, allowing Pharmacorp to increase its borrowing capacity as acquisition opportunities arise; A $3-million committed revolving operating line for working capital. Pharmacist co-ownership program credit facility -- supporting growth and local ownership The $5-million pharmacist co-ownership program credit facility, delivered through Pharmacorp's co-ownership financing program, addresses the long-standing "access to capital" challenge for pharmacists in the pharmacy sector. Under this program, loans are made available to pharmacists wishing to acquire an ownership position in the Pharmacorp pharmacy where they work, financing up to 100 per cent of their equity investment. These loans will be offered at competitive rates with repayment terms of up to 15 years. "Pharmacorp's co-ownership financing program removes a significant barrier to ownership," said Alan Simpson, executive chairman of Pharmacorp. "Many talented pharmacists simply don't have the capital or financing options to become true owners. Our program, now backed by CIBC, provides them with a direct path to equity and long-term wealth creation through co-ownership with Pharmacorp. With these expanded credit facilities in place, we are now well positioned to continue to execute acquisition opportunities and to scale our co-ownership model across Canada in the near term." About Pharmacorp Rx Inc. Pharmacorp currently operates four PharmaChoice Canada bannered pharmacies in Canada and will continue to acquire PharmaChoice Canada branded pharmacies as they come to market in conjunction with its partnership agreement with PharmaChoice Canada. The corporation will also acquire independently owned non-PharmaChoice Canada bannered pharmacies in Canada and thereafter continue to operate such acquired pharmacies under a PharmaChoice Canada banner. Pharmacorp shares trade on the TSX Venture Exchange under the symbol PCRX. Pharmacorp actively welcomes discussions with pharmacy owners considering succession or sale. For more information about its acquisition program and process, please visit the company's website or contact the company's team confidentially. Pharmacorp is committed to seamless transitions that protect your legacy and serve your community. We seek Safe Harbor.