McKesson Corporation, San Francisco, CA, has agreed to buy Oncology Therapeutics Network, a U.S. distributor of specialty pharmaceuticals, for $575 million.
According to Pembroke Consulting’s Adam Fein, OTN owns Onmark, a large buying group for thousands of small accounts. He says in his Distribution Trends blog: “Such forward integration makes it virtually impossible for a manufacturer to bypass and sell directly to the customer, because the distributor and the customer are the same company.” The customers of OTN will continue to operate as separate businesses.
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Sales of specialty drugs are increasing rapidly, especially oncology drugs. OTN …
