Traxion Acquires Medistik for US$78 million
National logistics operator Grupo Traxion acquired healthcare distributor Medistik for US$78 million. With this move, trucking, mobility and logistics operator Traxion incorporates the pharmaceutical vertical into its four-party logistics (4PL) and last-mile logistics services.
Traxion has grown and specialized partly by acquiring highly recognized companies with quality services. Thanks to this growth, Traxion has become a great expert in Mexican logistics. On the other hand, Medistik has over 25 years of experience in the distribution of clinical and hospital products, pharmaceuticals and biotechnological products, among others. Medistik has six warehouses, four in the State of Mexico, one in Monterrey and one in Guadalajara, and 10 cross-dock facilities in key locations. The company employs 431 people and performs over 190,000 deliveries per year for more than 50 AAA clients, with an efficiency of 99.9 percent.
Medistik has never stopped innovating and some of its latest plans focused on increasing the adoption of “AI and Big Data analytics to provide valuable information to our clients, develop new business models in areas like home care, and follow up on medication and treatment directly with the patient,” said Former President Carlos de la Fuente.
M&As are common means of growth in the life sciences sector but research by Oxford University warns that firms should aim to create synergy when acquiring another company and refrain from paying too high a premium or selecting an inappropriate target. While gaining a competitive advantage through M&A is often a successful business strategy, continued success depends on the understanding of deal selection, deal management, governance and post-deal integration, according to PwC. “Organizations should approach deals as part of a clear strategic vision and align deal activity to long-term objectives for the business,” reads PWC’s report.