Entrepreneur sells his pharmacy chain

Apr 8 2008 by Graeme King, The Journal

PHARMACY entrepreneur Alex Holliday has struck a multi-million pound deal to sell his 25-strong chain of shops and wholesale business to industry leader Alliance Boots.

Mr Holliday, from Cramlington, has built up the business over the last 13 years after founding it in a single room above a pharmacy.

While Mr Holliday, 51, has previously said he wanted to build his business up to generate £50m sales, from the £30m level it is at today, it appears he was made a good offer by Alliance Boots and opted to sell. There has been substantial consolidation in the pharmacy industry in recent months and years, with Alliance Unichem and Boots coming together in late 2005 to form by far the industry’s biggest player, and in this region another North East chain, Hendersons, was bought out by the enlarged Alliance Boots in October last year.

HF Healthcare operates a range of retail and health centre pharmacies, mostly under the Healthcare Plus brand, right across the North East and down as far south as Leeds. The business has grown to become the largest privately owned independent wholesale and retail pharmacy group in the North East. It employs around 240 people.

Mr Holliday said: “I felt the time was now right to consider my continued involvement in retail pharmacy.

“This deal gives me the opportunity to focus on my other business interests.”

BTG McInnes Corporate Finance led and negotiated the transaction, which sees 100% of the equity in the firm acquired by Alliance Boots. Mr Holliday was advised by Hay & Kilner law firm.

The 25 branches of HF Healthcare are expected to be rebranded as Boots stores.