“This is an extremely compelling combination that brings together SXC's industry-leading tools and technology with Catalyst's full-service PBM, best-in-class service and growing client base to create a company that is even better positioned to compete in the marketplace,” said SXC Chairman and CEO Mark Thierer in the news release.
On April 2, the FTC said it had voted 3-1 to approve the $29 billion merger of Express Scripts and Medco Health Solutions despite concerns from pharmacy and consumer groups that the deal was anticompetitive.
The commission found that the PBM market is competitive and “characterized by numerous, vigorous competitors who are expanding and winning business from traditional market leaders.”
The FTC cited SXC and Catalyst, which is based in Rockville, Md., as examples of the market's smaller PBMs that are both “experiencing considerable growth.”
SXC has now announced four acquisitions in the last year, including HealthTrans, a middle-market PBM and health information technology company; PTRx, a PBM, and SaveDirectRx, PTRx's exclusive mail-order pharmacy provider; and MedMetrics Health Partners, a PBM.
Also in the last year, Catalyst Health Solutions closed its acquisition of Walgreens Health Initiatives, the PBM previously owned by Walgreen Co.