TRxADE HEALTH, a Nasdaq-listed health services information technology (IT) company, has completed an all-stock merger deal worth $103m with Scienture, a pharmaceutical research company.
Scienture, based in New York, specialises in developing specialty product concepts and solutions that enhance value for patients and healthcare systems. The firm has a portfolio spanning various therapeutic areas, indications, and market segments.
TRxADE HEALTH, on the other hand, has been concentrating on IT assets and operations tailored to digitalise the retail pharmacy experience. Its primary operations are managed through its wholly-owned subsidiary, Integra Pharma Solutions (IPS), a licensed pharmaceutical wholesaler.
Integra Pharma Solutions supplies brand, generic, and non-drug products to a range of healthcare markets, including government organisations, hospitals, clinics, and independent pharmacies across the US.
Scienture president and CEO Shankar Hariharan said: “We are very excited about the merger and believe the new combined company will provide the vehicle for our future expansion.
“Our mission at Scienture is in developing unique speciality product concepts and solutions that bring enhanced value to patients, caregivers and healthcare systems. Our assets in development are across therapeutics areas, indications and cater to different market segments.
“We are committed to serving patients, physicians and other healthcare stakeholders to attain better health outcomes.”
Following the merger, Scienture’s current stockholders are set to hold approximately 82.99% of the equity interests in the combined entity, while existing TRxADE HEALTH stockholders will retain about 17.01%.
Suren Ajjarapu will continue in his role as chairman and CEO of the merged company. According to the parties, their combined entity aims to introduce innovative branded and speciality pharmaceutical products to the market, thereby improving the standard of care and adding value for patients, caregivers, and the healthcare system as a whole.
Legal counsel for TRxADE HEALTH was provided by Dykema Gossett, while Goodwin Procter served as legal counsel for Scienture.
