Loblaw makes bid for B.C. medical records company

Loblaw says Kelowna,B.C.-based QHR is a natural complement to Shoppers Drug Mart business

Loblaw Companies is planning another acquisition in the health-care industry—offering $170 million to buy a B.C.-based company that provides secure medical records technology.

The Canadian grocery and pharmacy giant is offering $3.10 cash per share of QHR Corp. of Kelowna, B.C.—22 per cent above the stock's closing price Friday on the TSX Venture Exchange.

Loblaw says QHR is a "natural complement'' to its Shoppers Drug Mart business—which operates Canada's largest retail network of pharmacies.

QHR currently supports 7,700 health-care providers with a suite of secure medical records technology.

Its board of directors is supporting the Loblaw takeover bid but the deal requires approval from at least two-thirds of the votes cast by QHR shareholders at a special meeting to be held in October.