Pharmacy corporates’ $9 billion merger strikes fear into the guild’s heart
The combined group would have almost 1000 retail stores across Australia.
The Pharmacy Guild of Australia has sounded the alarm over a planned merger between Chemist Warehouse and Sigma Healthcare, which would see the pharmacy giants create an $8.8 billion company.
Sigma has launched a $400 million equity raise to fund its acquisition of Chemist Warehouse, which it plans to buy in exchange for shares and $700 million in cash.
The deal would combine the retail franchises under both companies with Sigma’s pharmaceutical wholesale business, which supplies around 1000 pharmacies including Chemist Warehouse.
But the guild has warned that it poses “significant questions and risks” to patient care, community pharmacy ownership, competition and wholesaling.
