This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
$1 buys you full access to ALL of TheStreet's Subscription Services! Learn More

Graymark Healthcare Agrees To Sell Pharmacy Division To Walgreens Creating Pure Play Sleep Apnea Company

OKLAHOMA CITY, Sept. 1 /PRNewswire-FirstCall/ -- Graymark Healthcare, Inc. (Nasdaq: GRMH) today announced a definitive agreement under which Walgreen Co. will acquire substantially all of the assets of ApothecaryRx, the independent pharmacy division of Graymark Healthcare. Graymark expects to realize a total enterprise sale value of approximately $35 million including retained AR, expenses and proceeds from the liquidation of remaining ApothecaryRx assets.

The transaction is subject to customary regulatory conditions and would include all 18 ApothecaryRx stores located in five states. The parties anticipate that the transaction will close in the fourth quarter of calendar year 2010.

"The divestiture of our pharmacy division will allow us to put full focus on our sleep apnea business and to continue to grow that segment both organically and through acquisitions," said Stanton Nelson, Chairman and CEO of Graymark Healthcare. "Rapid growth in the sleep segment, strong margins and the lack of a definitive market leader in the sleep apnea space makes this a very desirable area for our focus and investment," Nelson continued.

ApothecaryRx was founded in 2006 and purchased large successful independent retail pharmacies retaining their local identities and community focus. "After examining all the choices, we believe that these stores will now best be positioned to succeed and continue to serve the needs of their communities within the Walgreens family," added Nelson.

In 2009 Graymark Healthcare launched the nation's first comprehensive care model for the diagnosis, treatment and continued support of patients with obstructive sleep apnea. It has grown into one of the largest national aggregators of sleep therapy businesses.

Morgan Joseph LLC's Healthcare Investment Banking Group served as exclusive financial advisor to Graymark Healthcare on the transaction.

About Graymark Healthcare

Graymark Healthcare, Inc. provides comprehensive care for people with sleep apnea. Graymark offers diagnostic services through its owned centers as well as through management agreements with hospitals, clinics and other care sites including patients' homes. Graymark offers treatment for sleep apnea through regional sites and longer term supportive care, including supplies, through its mail order and internet based programs. Graymark plans to continue its growth both internally and through strategic acquisitions related to the diagnosis and care of sleep apnea patients. Currently, Graymark Healthcare has a subsidiary that owns and operates independent retail pharmacies. Graymark plans to divest this subsidiary.

Forward Looking Safe Harbor

1 of 2

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!

Markets

DOW 17,797.60 -17.34 -0.10%
S&P 500 2,069.00 +1.97 0.10%
NASDAQ 4,773.4960 +15.2440 0.32%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs