Counsel now holds 37.3% stake in Capstone Pharmacy


August 09, 1996

Capstone Pharmacy Services Inc. yesterday said it had sold 2.1 million shares of common stock to its largest investor to help finance its $150 million acquisition of Integrated Health Services's pharmacy unit.

Counsel Corp. paid about $25 million for the stock through a private placement on July 29, said Allan Silber, Counsel's chairman and chief executive.

Baltimore-based Capstone, which provides pharmaceutical services to prisons, nursing homes and other long-term-care facilities, completed the purchase of Symphony Pharmacy Services, the long-term-care pharmacy division of Integrated Health Services of Owings Mills, last month.

The acquisition called for Capstone to pay $125 million in cash and $25 million in common stock. Counsel's stock purchase helped finance the cash portion.

Counsel now holds 8.35 million Capstone shares, a 37.3 percent stake, according to a 13D filing with the Securities and Exchange Commission.

Silber also holds 387,500 shares, the equivalent of a 1.9 percent stake.

Pub Date: 8/09/96

Baltimore Sun Articles
Please note the green-lined linked article text has been applied commercially without any involvement from our newsroom editors, reporters or any other editorial staff.