CareRx Corporation (TSX:CRRX) announced that it will be the first pharmacy in Canada to use the BD Rowa Dose medication packaging system from Becton, Dickinson and Company (BD), which will be the centerpiece technology at CareRx's new state-of-the-art, high-volume fulfillment centre that is scheduled to be opened in Burlington, Ontario in the spring of 2022.
The company said use of this technology is expected to further increase quality and safety while driving efficiencies in clinical workflow and enhancing its operating margins.
“Our expanded footprint from recent acquisitions and organic growth has given us the scale that we have long sought and has enabled us to open high-volume fulfillment centres and adopt state-of-the-art technologies like BD Rowa Dose,” CareRx CEO David Murphy said in a statement.
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“We expect BD Rowa Dose to help drive safety and quality improvements in our operations, free up pharmacist time to focus on resident-facing initiatives, and further enhance our service offering to our home operator partners and residents,” Murphy added.
CareRx noted that operational efficiencies expected to be realized from the company's new high-volume fulfillment centre and adoption of BD Rowa Dose are in addition to the synergies it expects to generate following the acquisition of the long-term care pharmacy operations of Medical Pharmacies Group Limited.
The company added that, to date, it has consolidated five pharmacy fulfillment centres and continues to expect the MPGL LTC Pharmacy Business to contribute run-rate annualized revenue of about $150 million and adjusted EBITDA of $10 million to $12 million, as well as cost savings synergies of a minimum of $5 million, which CareRx said is consistent with its initial expectations.
The company noted it will initially purchase two BD Rowa Dose medication packaging systems, which optimize the high-volume dispensing of medications at speeds that exceed the capabilities of conventional packaging solutions currently utilized by CareRx and other institutional pharmacies throughout Canada.
BD Rowa Dose's design and functionality allow for meaningfully higher prescription volumes without the need to add head count resources, while improving safety by reducing the likelihood of medication packaging errors and reducing waste.
CareRx Corporation (TSX:CRRX) has a large network of pharmacy fulfillment centres strategically located across Canada. This allows the leading provider of pharmacy services to seniors living communities to deliver medicines in a timely and cost-effective manner.
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