Catamaran completes $409.5 million purchase of Restat

Catamaran Corp., a provider of pharmacy benefit-management services, completed its acquisition of Milwaukee-based Restat, also a provider of PBM services, on Oct. 1.

The $409.5 million purchase was funded through a combination of cash already on hand and $350 million borrowed under Catamaran's revolving credit facility. When the acquisition was initially announced in August, Catamaran estimated that Restat would contribute approximately $650 million of annual drug spend and $45 million of annual EBITDA. And once Restat is fully integrated—a process anticipated to take 18 months—Catamaran expects to generate $20 million in annualized synergies.

“Restat presents a great opportunity to add to our scale and to offer new programs and services to Restat clients,” Catamaran Chairman and CEO Mark Thierer said in a news release.

Schaumburg, Ill.-based Catamaran provides pharmacy benefit-management services and technology, managing more than 250 million prescriptions on behalf of 25 million members each year. Restat also provides pharmacy benefit-management services, as well as prescription claim processing. Its operations will remain in Milwaukee.

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