Pharmacorp Rx closes acquisition of three pharmacies

Mr. Alan Simpson reports PHARMACORP CLOSES ACQUISITIONS OF THREE PHARMACIES ACROSS CANADA Pharmacorp Rx Inc. has completed the acquisitions of three community pharmacy businesses, two located in Western Canada and one located in Eastern Canada. Western Canada acquisitions Pharmacorp has closed its previously announced acquisitions of two PharmaChoice Canada bannered pharmacies located in Western Canada, one of which includes the associated lands and building. The aggregate purchase price for these two acquisitions was $3.4-million, subject to customary adjustments. In accordance with the agreements, 75 per cent of the Western Canada purchase price was satisfied with cash on hand and 25 per cent was satisfied by the issuance of common shares of Pharmacorp. The deemed price for the common shares was equal to the volume weighted average trading price of the common shares on the TSX Venture Exchange during the 10-trading-day period ending at the close of business on the third business day prior to the closing date. Eastern Canada acquisition Pharmacorp has also closed its previously announced acquisition of a PharmaChoice Canada bannered pharmacy located in Eastern Canada. The purchase price for this acquisition was $5.3-million, subject to customary adjustments. The Eastern Canada purchase price was satisfied by cash on hand and available funds under the corporation's credit facility. No finders' fees were paid in connection with the acquisitions. "These transactions reflect the continued momentum of our disciplined growth strategy and the strength of our strategic alliance with PharmaChoice Canada," said Alan Simpson, executive chair of Pharmacorp. "With the addition of these three strong community pharmacies in both Western and Eastern Canada, we are expanding our national footprint, preserving independent legacies and delivering continuity of care for patients. We intend to remain active on the acquisition front in the months ahead." About Pharmacorp Rx Inc. Pharmacorp currently operates seven 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. We seek Safe Harbor.