DOW JONES NEWSWIRES Cardinal Health Inc. (CAH) will need to reconstitute and sell nuclear pharmacies in three cities under a proposed Federal Trade Commission settlement tied to its August 2009 acquisition of Biotech. Cardinal Health officials weren't immediately available to comment. Biotech was a privately held operator of four nuclear pharmacies. The FTC alleges that the purchase reduced competition for low-energy radiopharmaceuticals in Las Vegas; Albuquerque, N.M.; and El Paso, Texas, because Cardinal closed its nuclear pharmacy businesses in those cities and moved them to the former Biotech locations. The agency's proposed order requires Cardinal to reconstitute the three nuclear pharmacies it had operated prior to the acquisition, and to sell each one, along with the related intellectual property, to an FTC-approved buyer. If suitable acquirers aren't found within six months, the FTC may appoint a divestiture trustee to reconstitute and sell the assets. Furthermore, customers in those cities will have a two-year right to terminate their existing contracts from low-energy radiopharmaceuticals, without penalty or charge. The FTC will decide to make the order final after a 30-day comment period that ends Aug. 22. Shares were recently trading at $46.36, up 84 cents. -By Melodie Warner, Dow Jones Newswires; 212-416-2283; melodie.warner@dowjones.com
