Investment Highlights

Andlauer Healthcare Group operates what management believes to be Canada’s only nation-wide network of temperature-controlled facilities, specialized vehicles, measuring and monitoring equipment, and trained personnel dedicated to providing supply chain services in the healthcare sector. We provide specialized transportation services to the top 25 global pharmaceutical manufacturers and manage the finished goods distribution of approximately $7 billion in pharmaceutical product sales across Canada. We are a partner of choice for leading wholesalers, retailers and distributors in the Canadian healthcare sector due to our operational excellence and differentiated service capabilities. We are integrated throughout the Canadian healthcare system, which helps to advance our flow of business. We have a strong track record of client retention, with an average client relationship of more than 15 years for our top 20 clients.

Our national platform in Canada comprises more than 2.2 million square feet of capacity in 39 leased facilities across the country. We operate 31 facilities equipped with temperature control and monitoring systems, and seven third-party cross-dock facilities, which expand the reach of our network. Our specialized fleet of temperature-controlled vehicles are equipped with temperature sensors and validated recording devices to ensure that strict customer and regulatory requirements are met. Our Crēdo thermal packaging further enhances our temperature management capabilities in a flexible and cost-efficient manner. Across our coast-to-coast distribution network, we offer management of various temperature ranges, including ambient ground (15ºC to 25ºC), ambient air (2ºC to 25ºC), cold chain (2ºC to 8ºC), ultra-cold (-70ºC) and heat (above 0ºC).

We expanded our footprint into the United States in 2021 with the acquisitions of Skelton USA Inc. (“Skelton USA”) and T.F. Boyle Transportation, Inc. (“Boyle Transportation”).  Through these U.S. subsidiaries, we provide specialized ground transportation services, primarily to the healthcare sector, across the contiguous 48 U.S. states. Skelton USA specializes in refrigerated healthcare products, while Boyle Transportation provides specialized transportation services to clients in the life sciences / healthcare sector (~ 70 – 75% of revenue) and government and defense sectors (~ 25 – 30% of revenue). Both Skelton USA and Boyle Transportation adhere to stringent temperature control, quality and security standards, and employ highly trained and dedicated professionals.

We have made significant investments in information technology across our business to provide both internal and external visibility throughout our supply chain activities, and we are committed to maintaining and advancing technology solutions that meet the needs of our clients in the highly regulated healthcare sector.

We have developed proprietary and scalable technology systems, Phoenix and ATLAS, which accumulate data and enable end-to-end monitoring of products. Phoenix is an online order management system portal that provides clients with real-time visibility over their supply chain and aggregates data to provide them with valuable insights about their business. ATLAS, a shipping and tracking information management system, allows us to monitor the progress and temperature of each shipment in our network, with full scanning, tracing, rating, and reporting capabilities while products are in storage or transit. ATLAS’s track and trace system allows clients to attain temperature monitoring data and shipment status information, including pickup date and time, linehaul scans, out for delivery scans, delivery scans, proof of delivery and appointment details.

We have also recently implemented the Tecsys Itopia® platform, a best-in-class healthcare logistics ‘software as a service’ platform, that provides us with enhanced warehouse management and transportation management capabilities, as well as end-to-end analytics and business intelligence.

Our revenue has increased at a compound annual growth rate of approximately 11% since 2010. From 2020 to 2024, our revenue increased by approximately 107% and EBITDA¹ increased by approximately 109%. Our profitability is supported by an asset light business model that results in limited and highly efficient capital expenditures.

¹ EBITDA is defined as net income (loss) for the period before: (i) income tax (recovery) expense; (ii) interest income; (iii) interest expense; and (iv) depreciation and amortization.

Our senior management team has more than 200 years of combined experience in the logistics, transportation and healthcare industries, and a proven track record of delivering profitable growth. We foster a strong employee culture that demands high levels of transparency and accountability. We recognize that our people are our most important asset and we promote personnel from within to retain top talent. We also utilize profit-sharing programs to ensure that our employees’ interests are aligned with stakeholders.