The UniChem story began in 1938 when a South London pharmacist, Ernest Skues, had the radical idea of forming a company, financed and controlled entirely by pharmacists to serve independent pharmacies. In March 1938, he formed an organising committee and UniChem Limited was incorporated as a company later that year. The first board meeting was held at the Charing Cross Hotel on Thursday 10th November 1938, with four other pharmacists present. They allotted shares to the first eight members and Ernest Skues read a number of letters which, according to the official minutes, left 'no doubt that pharmacists all over the country realised that the time was ripe for such a venture'. For over twenty years Ernest Skues masterminded UniChem's progress until his retirement in 1959. He died in 1977, at the age of 92.

UniChem commenced trading the year war broke out, but despite the obvious difficulties business grew steadily. In 1941, amongst other pharmacists who joined UniChem was Harold Moss, director of E. Moss Limited, a company founded in 1934, by Edgar Moss and which would be acquired by UniChem fifty years later, bringing the two management teams together once more.

During the war years, UniChem began building its reputation for being reliable and fast. They arranged with suppliers special deliveries to customers, who had lost their pharmaceutical stocks in air raids. A warehouse and other buildings in Broadwater Road, Tooting were purchased in 1945 and two years later the van service was started, which was the beginning of the wholesaling business as we know it today.

The first years of the second decade proved difficult, as the business had to adapt to cater for the rapid development of branded ethicals and the advent of the comprehensive National Health Service. In addition, the ethical service was handicapped by the refusal of several manufacturers to accord UniChem recognised wholesaler status, and it was not until 1952, that the last two major manufacturers made their products available on wholesale terms.

Spurred on by its success, UniChem started its expansion outside London during the first half of the third decade by opening a branch at Nuneaton, in 1961, and acquiring a branch at Leeds, in 1963.

By the end of the decade the number of customers and sales had increased, but there was an underlying problem. Many of the original customers had retired or ceased trading and keen competition from other wholesalers slowed customer growth and put pressure on costs. Sales and profits stagnated as a result and in 1968 management consultants were called in to revive UniChem's flagging fortunes.

The management consultants drew up a four point rescue plan recommending:

• Conversion from a company to an Industrial & Provident Society.
• New management appointments.
• Expansion of the stock range to take in all over the counter (OTC) medicines and toiletries.
• Extension of branch coverage in London and the Home Counties.

Thereby UniChem was duly converted into an Industrial & Provident Society in September 1969, which meant that only pharmacists trading with UniChem could own shares. New distribution centres were opened in Kingston upon Thames and Willesden, but profits continued to decline.

UniChem now faced severe financial difficulties and at the end of 1971, Peter Dodd was appointed Managing Director. Peter remained at the helm of UniChem for twenty years until his retirement in 1992. He gave outstanding leadership to the management team, which laid the strong foundations for the wholesaling business today.

In the first year under new management, UniChem launched into promotional activities and the concept of Transfer Orders was introduced. Transfer Orders enabled toiletry manufacturers to take orders for goods, but pass the responsibility for their delivery to UniChem. In October 1977, National Press advertising was used for the first time to launch a consumer promotion by a pharmaceutical wholesaler.

With the rapid growth UniChem was now experiencing, the twelve distribution centres were fast running out of capacity and there followed major investment in their premises. UniChem also developed its services to customers. In 1980, PRIDE, an in-pharmacy computer system launched specifically to provide a wide range of management information and to enhance:

• The professionalism of the local pharmacy (by providing printed prescription labels).
• Stock control.

Other services offered, included a pension scheme, in 1982, a shop and professional indemnity scheme, in 1983 and the very successful loan and guarantee scheme, providing finance for independent pharmacists to purchase or expand their retail businesses.

On the night of 30th March 1982, the Kingston upon Thames distribution centre was destroyed in a major fire.

Towards the end of the decade and approaching its Golden Jubilee year, it became apparent that the benefits of being an Industrial & Provident Society had long since vanished. Limited access to capital for further expansion, reduced UniChem's ability to compete in new markets such as the Hospital sector. The decision was taken to seek approval of members to convert UniChem into a public company limited by shares, to be followed by flotation on the London Stock Exchange. In December 1987, an announcement of intention was made and was accompanied by details of a share allocation scheme, in which additional shares would be offered to members on the basis of their trading.

On the 15th November 1990, UniChem shares were floated on the London Stock Exchange and began trading at 123 pence each.

Now released from financial and market constraints, UniChem began purchasing pharmacies to create a retail division. The acquisition of E. Moss Limited (with 92 pharmacies) in December 1991, represented a major step in the development of a national branded chain of pharmacies. Since then further outlets acquired have increased the Moss Chemists chain of pharmacies, making it the third largest retail pharmacy chain in the UK.

Over the same period, the development of the wholesale division was supplemented by the acquisition of Bradford Chemists' Alliance in 1993, and Hall Forster & Company, in 1994, two regional wholesale pharmaceutical supply companies, in addition to the Specials manufacturer Eldon Laboratories. In December 1994, UniChem also acquired Selles Medical Limited, a specialist in providing occupational health and first aid supplies to the industrial sector.

During 1992, three wholesale pharmaceutical companies in the north of Portugal were acquired. The three companies were merged into one cohesive business. Two years later, UniChem extended its wholesaling activity in the important Hospital distribution market, by acquiring Hospital Management & Supplies (HM & S).

The opening of a new central distribution centre at South Normanton, in 1993, was pivotal in meeting the increasing wholesaling distribution needs of its customers.

In 1995, a contract was secured with Smith & Nephew, which was the first 'third-party' distribution contract for another pharmaceutical manufacturer.

In late 1996, United Drug Group of Ireland and UniChem combined to form a joint venture called UniDrug Distribution Group (UDG). This business was established to further develop the pre-wholesaling opportunities for the company.

In 1997, Alliance UniChem appointed the high profile figure of Sir Kenneth Clarke MP as Chairman, highlighting the company's ambitious plans for the future. Plans included the full merger with the Alliance Sante Group, a leading European healthcare company, forming Alliance UniChem PLC.

Alliance UniChem now operate in 12 countries including The Czech Republic, France, Greece, Italy, Morocco, Norway, Portugal, Spain, Switzerland, The Netherlands, Turkey and the UK.

The Alliance UniChem network serves over 65,000 pharmacies and other healthcare clients from 212 warehouses and employs 27,700 people. Moss Pharmacy now owns over 770 pharmacies in the UK, bringing the total retail chain controlled by the Alliance UniChem group to 925 outlets.

Across Europe we are now responsible for handling 1 in 5 prescriptions, thereby providing a major role in the provision of healthcare & medicines in the countries we operate.

As a group we are focused on expanding our business in our core European markets and improving operating efficiencies across the divisions in order to achieve our aim to be the leading healthcare distributor in Europe.

Merged with Boots to become Alliance Boots.