Replacement*
Checked out
I found the article interesting more than anything, and didn't sway my opinion of him one way or the other. You don't become a billionaire without angling for the best deal no matter what.
One thing I'd like to know about Katz is the true story of how he managed to take a tiny storefront pharmacy chain that his Dad started, and successfully gobble up larger chains to become the brand that Rexall is. There is no way that earnings from those smaller operations could solely float those acquisitions, and it seems too risky to me for banks to get involved. Did some of the ex-Oilers help out in some way so he feels indebted to them? Were some major pharmaceuticals or other suppliers involved with lending money? Kudos to him for pulling it all off though.
Katz for years operated cross border online and mail order pharmaceutical sales due to Canada having different regulations on when generics could be made of popular drugs (every new drug gets a time period of sales before generics are allowed) Given that in Canada this time period is less (bad policy that doesn't provide any impetus or reason for pharmaceutical companies to do research and development when they can just copy) So katz simply targeted high popularity, high priced US non generic new drugs, and sold Billions of the stuff cross border at the cheaper Canadian generic prices. Generics are usually quite similar and often in the ballpark of 50% or less of the regular price.
Katz utilized this *freetrade* loophole to make his first Billions.
Good for him to act on the difference in jurisdictional standards but a lot of people recognized the opportunity. Katz, with his aggressive takeover mentality put it to optimal use. Being a growing big player in acquiring chains for his Rexall conglomerate allowed him further legitimacy in doing global pharmaceutical sales. The $ was in Pharmaceuticals. That was the brunt of it.