Toronto-based private equity firm Birch Hill Equity Partners has finalised its previously announced purchase of the Rexall Pharmacy Group and Well.ca, marking a significant move in Canada’s healthcare and wellness retail sector, according to a report by the Globe & Mail.
The acquisition, completed on 30 December, was first announced in September and involves Birch Hill taking over the Canadian drugstore chain from McKesson Corp, according to filings with the Federal Competition Tribunal. Financial details of the transaction have not been disclosed.
Rexall, one of Canada’s leading pharmacy chains, operates 385 locations nationwide and employs approximately 8,000 people. The acquisition positions Birch Hill to play a central role in shaping the future of the pharmacy chain.
Additionally, the deal includes McKesson’s Well.ca, a Texas-based e-commerce platform offering over 40,000 health and wellness products. The online platform complements Rexall’s brick-and-mortar presence, giving Birch Hill a foothold in both physical and digital retail.
For McKesson, the divestiture aligns with its strategic focus on expanding its oncology and biopharma growth platforms. By streamlining its portfolio, the company aims to concentrate on high-growth areas within the healthcare sector.
