Covetrus announces separation from former parent firm Henry Schein

Covetrus, the U.S-based leading firm offering animal-health technology and services, has reportedly announced that it has exited all 72 transitional services agreements with its former parent firm Henry Schein Inc. The final departure marked a pivotal milestone that will enable the firm to offer greater coordination of its business as it moves towards the next stage of its three-stage strategic plan.

Covetrus also declared an alliance within its North American commercial companies to accelerate strategic alignment between its clients and its complete scope of products as well as capabilities. The novel structure brings together the company’s North American commercial teams under combined leadership to optimize account management and aid for its customers’ businesses.

This change also unlocks new resources for the company’s global technology solution team to emphasize executing its technology roadmap including e-commerce improvements, new software, and bringing prescription management to novel geographies in 2021 and beyond. The company’s novel commercial structure also decreases duplications within the joint businesses, which hampered around 80 employees.

Ben Wolin, CEO, and President of Covetrus congratulated the team for their remarkable work in completing this separation and also thanked Henry Schein for offering constant support during the complete process. The company enters 2021 with momentum, better alignment around its customers, and emphasis on offering the substantial growth opportunities ahead, he states.

Mr. Wolin further added that this enhanced technology investment and alliance has positioned the company to win for and on behalf of its customers.

In addition, the firm has also entered into a deal to transfer its France-based distribution business, Hippocampe Caen S.A, to COVETO, effective from Dec. 31, 2020. This transfer will modestly decrease the firm’s formerly disclosed severance obligations related to its decision in Oct. 2020 to exit that business. The company continues to cater to the French market with proprietary products and practice management software.

Source credit - https://www.nasdaq.com/press-release/covetrus-completes-separation-from-former-parent-company-2020-12-09