14 Mar 2022
Loblaw's subsidiary agrees to acquire Lifemark Health Group for $845 million
On March 14, 2022, Loblaw Companies Limited, through its subsidiary Shoppers Drug Mart, finalized the purchase of Lifemark Health Group from Audax Private Equity for $845 million. Lifemark, Canada's premier outpatient rehabilitation service provider, operates over 300 clinics offering various therapies. This move is an expansion of Loblaw's commitment to enhancing Canadian healthcare, broadening its range of in-person and digital health services.
Jeff Leger, President of Shoppers Drug Mart, highlighted the company's 60-year history of contributing to Canadian health and wellness, noting the complementary nature of pharmacy and physical therapy services. The acquisition integrates Lifemark into Shoppers' extensive network, which includes pharmacies, medical clinics, and health businesses, fortified by the digital PC Health platform. This alliance aims to simplify patient care across the nation.
Peter Stymiest, CEO of Lifemark, expressed enthusiasm for joining forces with the iconic Shoppers brand, anticipating growth and extended reach for their health services. Leger also emphasized the enhanced capability to deliver wellness services and improved health outcomes for Canadians through this acquisition.
The transaction, expected to conclude in the second quarter of 2022, is pending regulatory approvals and standard closing conditions. CIBC Capital Markets and Borden Ladner Gervais LLP provided financial and legal advice respectively to Loblaw and Shoppers, while Harris Williams, Blake, Cassels & Graydon LLP, and Kirkland & Ellis LLP advised Lifemark and its shareholders.
