Neighbourly poised to become second-largest pharmacy chain in Alberta

Toronto-based Neighbourly Pharmacy Inc., is set to become the second largest community pharmacy chain in Alberta, after it announced an agreement on October 7 that it is acquiring 20 pharmacies in the province for a total of $41 million. The new deal, once finalized, will expand Neighbourly’s chain of pharmacies to a total of 167 across Canada and 52 throughout Alberta. By comparison, Shoppers Drug Mart has 165 stores in Alberta while Rexall has 40. Since it launched five years ago, Neighbourly has grown rapidly by acquiring community pharmacies from owners who are either retiring or who want to continue practising but without the hassle of running a business. Neighbourly pharmacies are typically located in small, underserved communities, with populations of fewer than 100,000. The company’s value proposition to acquisition targets is its ability to bring efficiencies and economies of scale to the business, so pharmacists can focus on the work they’re trained to do. Unlike pharmacies that belong to a banner or buying group, every pharmacy in the Neighbourly network is owned wholly by the company. Read: Canada's changing pharmacy landscape “We give pharmacy owners their time back because once we acquire them they no longer have to do administrative tasks like payroll or paying their suppliers,” Neighbourly CEO Chris Gardner told Pharmacy Practice+Business in an interview last month. “We give them time do what they went to school for.” Another big change in many pharmacists sold to Neighbourly is the post-acquisition shift towards increased clinical services. The company’s numbers reflect this shift, said Gardiner, pointing to a five-fold increase in clinical services at Neighbourly over the last five years. In Alberta, where pharmacists boast the broadest scope or practice in the country, many pharmacists still feel frustrated at the limitations placed on them by owners that focus more on dispensing as a measure of productivity. “A lot of our pharmacists in Alberta have told us they want to practice the way they learned in school, to the full scope of practice,” said Gardner. “We’re helping them do that.” Read: THRIVING: How one pharmacist transformed her business to more services and greater profits

Neighbourly poised to become second-largest pharmacy chain in Alberta

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