Cardinal Health has completed its acquisition of The Harvard Drug Group, the Dublin, Ohio-based pharmaceutical and medical products distributor announced Monday.
Cardinal announced in June that it would purchase the Livonia, Mich.-based drug distributor for $1.1 billion from New York City-based Court Square Capital Partners. The deal is expected to allow Cardinal to expand its telesales operations and allow it to offer specialized packaging, in addition to boosting distribution of generics and over-the-counter medications.
It's an early close for Cardinal, which previously said it had expected the deal to close in the beginning of fiscal 2016.
At the time, the company raised its fiscal 2016 budget guidance to reflect the transaction, expecting diluted earnings per share from continuing operations of greater than $0.15 per share, net of $0.03 to $0.04 per share in interest expense for debt financing related to the deal. The company said it expected the deal to be accretive in non-GAAP diluted EPS of over $0.20 in fiscal 2017 and increasingly higher thereafter.
Cardinal sees growth potential in the generics business. The company has reported strong results from its generic drug-purchasing joint venture with CVS Health, called Red Oak sourcing.
