Custom Health to acquire Wisconsin's Evergreen Pharmacy for US$3.5M
Last updated: 11:25 22 Jul 2026 EDT, First published: 08:38 22 Jul 2026 EDT
Custom Health Holdings Inc (TSX:CHLT) has signed a binding letter of intent to acquire Wisconsin-based Evergreen Pharmacy LLC in a deal expected to add more than US$78 million in annual revenue to the company.
Under the terms of the letter of intent, Custom Health will pay a total purchase price of US$3.5 million, including at least US$1 million of prescription drug inventory and US$450,000 of net working capital. The purchase price is payable in cash on closing, subject to a US$175,000 indemnity holdback for six months following closing.
The acquisition is expected to strengthen Custom Health's ability to support patients managing complex therapies and expand its operating footprint across the US Midwest.
Shares of Custom Health were up 8.3% in Canada.
Evergreen is licensed to provide pharmacy services in Wisconsin, Illinois and Michigan, with the ability to expand into Minnesota.
The specialty pharmacy operator, which manages complex therapies for chronic disease states, generated revenue of approximately US$78.8 million and normalized EBITDA of US$0.6 million for the 12 months ended December 31, 2025. Evergreen posted positive net income in both fiscal 2025 and the first quarter of 2026.
Evergreen's specialty areas include behavioral health, dermatology, gastroenterology, infectious disease, rheumatology and neurology, among others. The company provides high-touch patient care including complex insurance approvals, lab monitoring, onsite and provider-clinic injection services, and tele-pharmacy services.
"Evergreen is expected to bring a well-established specialty pharmacy with deep expertise in complex, high-touch patient care to our platform," said Shane Bishop, CEO of Custom Health. "Its clinical capabilities, established provider relationships, and consistent revenue base align directly with our strategy of expanding technology-enabled pharmacy and clinical services across North America, and we look forward to working toward a definitive agreement."
Closing of the acquisition is subject to negotiation of a definitive agreement, completion of due diligence, and receipt of regulatory and third-party approvals. The company expects the deal to close in the third quarter of 2026.
The company also announced that Robert Guzman has resigned as chief compliance and regulatory officer for personal reasons.
