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Pharma & Biotech

Neighbourly Pharmacy sees 2Q revenue climb on new acquisitions

Neighbourly Pharmacy Inc announced on Tuesday that its second-quarter 2023 revenue rose 14% year over year to $203.2 million, driven primarily by pharmacies acquired over the past year.

Canada’s largest network of independent pharmacies, meanwhile, said its same-store sales for the period grew 4.0%.

"Neighbourly's second quarter results reflect the increasing momentum of our pharmacy business, our focus on operational execution and the ongoing contributions from our robust M&A pipeline," Neighbourly Pharmacy CEO Skip Bourdo said in a statement.

The company's adjusted earnings per share (EPS) for the quarter increased to $0.13 from $0.12 a year ago.

Earlier this month, Neighbourly announced an agreement with its largest shareholder, Persistence Capital Partners (PCP), to go private at a price of $20.50 per share in cash, or a total consideration of about $916 million.

The offer is a 21% premium to the company's May 2021 initial public offering (IPO) price.

At the time, PCP owned about 22.4 million Neighbourly shares representing a 50.2% equity stake in the company.

Shares of Neighbourly Pharmacy rose 1.1% to $17.49 in late-morning trading on Tuesday but have fallen 23% year to date.

Contact Sean at sean@proactiveinvestors.com

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