CareFusion to Acquire Pharmacy Inventory Firm
The company has purchased PHACTS LLC, a technology and consulting firm that helps pharmacies manage drug inventory and manage costs.
[[PR Newswire]] CareFusion today announced an agreement to acquire PHACTS, LLC, a Seattle-based technology and consulting company that helps hospital pharmacies better manage inventory, reduce pharmaceutical costs and streamline operations. Terms of the deal were not disclosed.
The acquisition will advance CareFusion's strategy to offer hospitals safe and efficient systems to manage medication throughout their facilities – from the loading dock to the patient bedside and through to waste segregation. By adding PHACTS to the company's core Pyxis dispensing technologies portfolio, CareFusion will be able to provide health systems better visibility into drug inventories, helping to reduce on-hand inventory, streamline staff workflow, manage drug shortages and improve financial performance.
In November 2010, CareFusion announced a global marketing relationship as the exclusive reseller of PHACTS pharmacy inventory management software and automation. Through this partnership, PHACTS expanded its base of customers by 50 percent to more than 200 customers.
"With the addition of PHACTS market-leading products to our portfolio, CareFusion is better positioned to help hospitals realize significant savings, including a reduction in medication inventory on-hand levels by up to 40 percent," said Tom Leonard, president of Medical Systems at CareFusion. "The acquisition will enable us to more directly integrate PHACTS capabilities into our core CareFusion Pyxis technologies and expand our portfolio to further strengthen our comprehensive, end-to-end medication management offering."
PHACTS products include both software and automation solutions for health systems and hospital pharmacies. With PHACTS software, health systems can track drug inventories in near real time across all pharmacy locations, gaining visibility that can help accelerate inventory turns, maintain stock at optimal levels and reduce waste from expired drugs – all resulting in lower medication costs. PHACTS automation helps hospitals efficiently package and label medications, applying barcodes that can improve accuracy at the bedside and helping to increase medication safety.
The PHACTS portfolio includes:
Pharmogistics pharmacy inventory management software that ties directly into hospital IT systems to track drugs and helps hospitals increase accuracy, simplify workflow processes and improve productivity. Pharmogistics software operates automated carousel hardware for high-density medication storage and retrieval in the hospital pharmacy;
PharmoPack high-speed medication packaging and barcode labeling system for oral drugs in solid form; and,
PharmoCode barcode labeling system for non-oral medications and devices, such as vials and syringes.
Subject to customary conditions, the acquisition is expected to close in the fourth quarter of CareFusion fiscal year 2012. The acquisition is expected to be neutral to adjusted earnings in the first year and increasingly accretive thereafter.
PHACTS has more than 35 years of experience in working with pharmacies specializing in pharmaceutical distribution, inventory management, reducing waste and expired medications, pharmacy automation, logistics, workflow process, and barcode medication administration. The company pioneered software to operate pharmacy carousels and manage pharmacy inventory in hospitals.
CareFusion (NYSE: CFN) is a global corporation serving the health care industry with products and services that help hospitals measurably improve the safety and quality of care. The company develops market-leading technologies including Alaris infusion pumps, Pyxis automated dispensing and patient identification systems, AVEA, AirLife and LTV series ventilation and respiratory products, ChloraPrep skin prep products, MedMined services for data mining surveillance, Nicolet neurological monitoring and diagnostic products, V. Mueller surgical instruments, and an extensive line of products that support interventional medicine. CareFusion employs more than 14,000 people across its global operations. More information may be found at www.carefusion.com.