Kroger's Axium Pharmacy merges with ModernHEALTH specialty pharmacy

CINCINNATI - Kroger on Wednesday announced an agreement for Axium Pharmacy Holdings to acquire the outstanding shares of Modern HC Holdings, a leading specialty pharmacy, to create a combined specialty pharmacy that will operate as a wholly-owned subsidiary of Kroger.

"This strategic investment will accelerate the growth of Kroger's health and wellness business," stated Robert Clark, Kroger's SVP merchandising. "Expanding our specialty pharmacy services will provide our customers with greater access to medications we don't currently dispense and access to additional services without going to another pharmacy."

ModernHEALTH, based in Orlando, is one of the nation's largest independent providers of specialty pharmacy services. The company employs approximately 500 associates who provide comprehensive specialty pharmacy services including IVIG for patients who require IV-based therapies for autoimmune and primary immune deficiency diseases, and comprehensive medication management for HIV, Cystic Fibrosis, Transplant, Hepatitis C, Rheumatoid Arthritis and Dermatology.

Kroger operates 2,230 pharmacy locations and 195 The Little Clinic locations. The company's pharmacists also provide health coaching, biometric screening and other wellness services designed to deliver positive health outcomes for patients. Axium, which became a wholly-owned subsidiary of Kroger in 2012, is one of the nation's largest independent providers of specialty pharmacy services, offering a range of clinical services to patients with complex chronic conditions.

The transaction is subject to certain regulatory approvals, including from the FTC.

Financial terms were not disclosed.