http://www.bloomberg.com/news/2012-10-25/mckesson-agrees-to-buy-pss-world-medical-fr-2-1-billion.html
McKesson Corp., the largest U.S. drug distributor, agreed to buy PSS World Medical, Inc. for about $2.1 billion to expand in providing medical supplies and services.
The $29-a-share agreement to purchase the Jacksonville, Florida-based company also includes the assumption of PSS World (PSSI)’s debt, San Francisco-based McKesson said in a statement today.
So i guess its safe to say that they will not be relocating downtown. Haha
I think that was safe to say before the McKesson announcement. Hopefully, this wasn't the big tenant COJ hopes Parador could land with the subsidized garage they're getting.
I'm selling that stock at the open. Nice premium!
Bummer. The way it goes, I guess.
Yea - that hit us like a bombshell this morning.
And Lake was right - they were never going to seriously consider moving downtown. WGV was more attractive. That's speculation on my part, but it was more likely than downtown.
McKesson on the whole is an enormous company, but they have a $2B division focusing on physician and senior care distribution. PSS will merge with them, making a $4B company. The current McKesson division is in Richmond Virginia. There's no telling where either office will end up when this closes, but McKesson has a history of leaving acquisitions to continue to operate largely as stand alone businesses.
Quote from: Captain Zissou on October 25, 2012, 11:25:47 AM
McKesson on the whole is an enormous company, but they have a $2B division focusing on physician and senior care distribution. PSS will merge with them, making a $4B company. The current McKesson division is in Richmond Virginia. There's no telling where either office will end up when this closes, but McKesson has a history of leaving acquisitions to continue to operate largely as stand alone businesses.
Oh yea! I forgot you're here too, Ziss.
That'd be cool if we were left standing. Still doesn't mean we'd end up downtown - lol.
Quote from: Doctor_K on October 25, 2012, 11:41:47 AM
Quote from: Captain Zissou on October 25, 2012, 11:25:47 AM
McKesson on the whole is an enormous company, but they have a $2B division focusing on physician and senior care distribution. PSS will merge with them, making a $4B company. The current McKesson division is in Richmond Virginia. There's no telling where either office will end up when this closes, but McKesson has a history of leaving acquisitions to continue to operate largely as stand alone businesses.
Oh yea! I forgot you're here too, Ziss.
That'd be cool if we were left standing. Still doesn't mean we'd end up downtown - lol.
Yeah, Doc, 4th floor represent! The downtown thing was never going to happen, but after what the city did with Bi-Lo they may want to enter talks with McKesson to see if we can't pull some more of their employees down here. Man I wish I owned some more shares of PSSI this morning!
I remember when they started in a little rented warehouse down the street from my offices. What an incredible local success story!
PSS World Medical's real estate decision on hold for now
http://www.bizjournals.com/jacksonville/blog/2012/10/pss-world-medical-incs-real-estate.html
@ Captain Z. Sounds like you guys are in the same boat as my company who's right down the street from you - Homeward residential (formerly American Home Mortgage Servicing, formerly Option One)
Ocwen bought our company out for 750 million at the beginning of October. They have a HUGE presence in India so we're not too sure what'll happen with our site here in Jax (400+) and over in Dallas. We're hoping for the same thing, they'll leave us operating as a stand alone business.
It looks like everything's up in the air with PSS WM for now. I had an interview lined up with them but now I’m being told they're in a hiring freeze until everything settles from the acquisition. (Or they just don't want to hire me!)
Either way, this corner of JTB and Belfort is like an uncertainty vortex for Jacksonville companies. Homeward/AHMSI was bought last year and their Jax office is closing. I hope PSS has better luck.
^ British Airways is closing, too :-\
"After what the city did with Bi-Lo...." Someone please explain, what did the city do with Bi-Lo?
^ Bi-Lo bought Winn Dixie....and surprisingly, Jax. was able to get them to move their HQ to Jax (vs. Winn Dixie folks going up to SC)....state and local incentives that basically matched those offered by SC made it happen
Quote from: tufsu1 on April 02, 2013, 10:28:26 PM
^ Bi-Lo bought Winn Dixie....and surprisingly, Jax. was able to get them to move their HQ to Jax (vs. Winn Dixie folks going up to SC)....state and local incentives that basically matched those offered by SC made it happen
I love Jax as much as anyone else on the forum, but Greenville is an awesome urban space. I'm sure the employees didn't take moving lightly.
A lot of the Bi-Lo headquarters folks didn't get the opportunity to move, but were laid off. Mostly staff, I think, not management.
Which is what would have happened to the Winn-Dixie folks if they'd relocated to SC, and there were more of them.
Both Bi-lo and Winn Dixie are now owned by a private equity firm. The PE bought BL first in 2006 and then gave BL the money to purchase WD in 2011. The PE firm is based in Texas and they largely called the shots as far as the integration goes and determining where the headquarters would be and who would be the executive management team. The CEO was not affiliated with either chain prior to the merger. Since WD used to be a much bigger company before it entered bankruptcy, they had the infrastructure to support the combined organization. BL is as big as they have ever been, so tripling the size of their infrastructure and support center was not a feasible option for them. Certain departments still remain in Greenville, but the bulk of the jobs have been moved down to Jax.
Thanks Captain. Didn't know that.
And PSS will 100% have continuing operations in Jacksonville, but it is still very early in the process. PSS is being combined with McKesson Medical-surgical(Med-Surg) to form a new 4B company under the McKesson name. The businesses are basically opposite eachother in terms of their areas of focus. The physician side of PSS makes up 1.5B of their company, with senior care making up the other 500M. McKesson has a 1.5B position in senior care, with 500M in physician services. Some of the upper level org structures have been set in place, but the integration process will take at least a year from the close date earlier this year. It is unclear what business units will remain in jax, but there will definitely be a presence here in some form for the near future.
Well with Arabiantainer Corporation coming to the Port, they couldn't have picked a better HQ and logistics center for the combined BL/WD companies. ;D