Diplomat acquires WRB communications
FLINT, Mich. — Diplomat Pharmacy on Monday announced its latest acquisition. The company has acquired WRB Communications, a Chantilly, Va.-based health care service company that specializes in relationship management programs for pharmaceutical manufacturers and health care service organizations.
WRB will join Envoy Health Management as part of Diplomat’s offering of commercialization support services for manufacturers and biotech firms, among other service companies.
“Here at Diplomat, we are deeply committed to investing in our patients and existing partner relationships,” Diplomat CEO and chairman Phil Hagerman. “This is a strategic acquisition in line with our growth strategy, and the hub services market represents an exciting and growing opportunity for Diplomat. With the increased demand for outsourcing from small and emerging biotech, WRB adds needed capabilities to Diplomat. Continuing to grow our service offerings will engage us earlier in the drug development lifecycle, tying us closer to our manufacturing partners and creating additional sell-in channels at each development stage.”
Diplomat SVP pharma services and marketing Jennifer Cretu said that the hub services market presents an opportunity as the need for hub services grows.
"With the growing need for hub services, we are proud to enhance EnvoyHealth with WRB. Pharmaceutical Commerce magazine recently published its 2017 Hub Services report, which highlights the growing need for hub services by pharma due to the rise of specialty,” Cretu said. “Several of the industry drivers that were mentioned fit our wheelhouse, such as greater emphasis on assisting providers with prior authorizations, developing a comprehensive outcomes dashboard, expanding patient assistance due to increasingly complex treatment protocols, and controlling the cost curve through outcomes utilization."
Diplomat is paying WRB $24.5 million in cash and $4.5 million of Diplomat common stock, with WRB able to earn up to $ 1million more in additional payout from the achievement of EBITDA-based targets in the 12-month periods ending in May 2018 and 2019.
"Both WRB and Diplomat are born from an entrepreneurial spirit and share a common culture and focus," WRB president Ron Abel said. "Diplomat will connect WRB with the resources it needs to continue its growth and expand its services. Diplomat has many relationships with pharmaceutical manufacturers, payors, and providers that can benefit from WRB's customer relationship management services."