Acquisition is the perfect cure for pharmacy group

A STAFFORDSHIRE pharmacy group has expanded its presence with a new acquisition.

Northwood Dispensing Chemists has completed the acquisition of Brickley Pharmacy with the support of a new loan from Lloyds Bank Commercial Banking.

The terms of the deal have not been disclosed.

Northwood is a family-run pharmacy group with sites throughout Staffordshire, including Penkridge, Rugeley, Chasetown and Fradley.

Since the business launched in 1953 it has acquired six independent chemists. When the firm was looking to extend its reach further throughout the West Midlands, it worked alongside Kevin Nichols at The Pharmacy Consultancy to realise the potential of buying Brickley, which is based in Wednesfield, just outside Wolverhampton.

After a thorough audit, the company turned to Lloyds Bank to secure a loan in order to complete the purchase.

The acquisition is set to increase the group’s annual turnover – currently £5m – by 40%.

Harvey Northwood, owner of Northwood Dispensing Chemists, said: “Our priority is to provide communities with products they need in their local area, and this means we are always looking at acquisition opportunities to help us expand our geographical reach.

“Lloyds Bank has been fully receptive to our desire for growth through acquiring other businesses, and has provided the funding we need to facilitate future growth. Brickley Pharmacy was an ideal choice because of its location in the heart of Ashmore Park, and we are pleased to add it to our portfolio.”

Harvey Sandford, relationship director for the healthcare sector at Lloyds Bank Commercial Banking, said: “Northwood Dispensing Chemists has witnessed strong acquisitive growth over the years, and the addition of the chemist in Wednesfield was a clear next step towards expansion.

“This move reflects the findings from the latest Lloyds Bank Healthcare Confidence Index, which suggests 79% of pharmacists are looking to grow their business.”