Even though Express Scripts got the FTC go-ahead for its $29 billion acquisition of Medco, retail pharmacists are determined to stop the merger via federal courts.
After its exhaustive investigation, the FTC concluded that the commission "revealed a competitive market for PBM services characterized by numerous, vigorous competitors who are expanding and winning business from traditional market leaders. The acquisition of Medco by Express Scripts will likely not change these dynamics: the merging parties are not particularly close competitors, the market today is not conducive to coordinated interaction, and there is little risk of the merged company exercising monopsony power."
Though they may have lost this round, the National Association of Chain Drug Stores and the National Community Pharmacists Association are taking the fight to federal court. The organizations, along with nine local community pharmacy companies, filed a suit last Thursday with the U.S. District Court for the Western District of Pennsylvania to immediately block the merger. The Preserve Community Pharmacy Access NOW! (PCPAN) coalition, the American Antitrust Institute, the American Consumer Institute and public interest attorney and former Federal Trade Commission policy director David Balto is also calling on state attorneys general to step in.
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