United Drug linked to all-Ireland Boots deal

UNITED Drug could be on the verge of clinching an all-Ireland drug and pharmaceutical product distribution deal with the Boots chemist chain.

Such a development has been mooted as a possibility since the proposed merger of Boots and Alliance Unichem was first announced, late last year.

Speculation mounted this week after analysts raised the issue again, after Alliance Unichem saw its share price rise after a positive AGM.

Senior officials at United Drug yesterday said they were “unable to comment on any developments.

Company chief executive Liam Fitzgerald revealed some months ago that it was hoped any deal between Boots and Alliance Unichem would lead to deals involving United Drug.

United already supplies Boots stores across Northern Ireland. If it managed to extend that contract into the Republic, it would succeed German drug wholesale and retail company, Celesio, which owns the Cahill May Roberts wholesale business here and is looking to expand, through acquiring pharmacies, in the Irish market.

It has been suggested that Boots, which operates 40 chemists in the Republic with more planned, isn’t keen on continually working with a wholesaler with retail expansion plans.

United Drug, meanwhile, intends to boost its British-based operations this year.

It spent €25m on British acquisitions last year.