A multibillion-dollar Chemist Warehouse deal would entrench its domination of Australia’s pharmacy sector. But the competition watchdog isn’t yet convinced it’s healthy for customers.
An $8.8 billion merger between the privately owned Chemist Warehouse and ASX-listed Sigma Healthcare has the financial markets abuzz, but not everyone is sure this transformative deal will get past the Australian Competition and Consumer Commission .Sigma Healthcare boss Vikesh Ramsunder and Chemist Warehouse CEO and co-founder Mario Verrocchi.
Chemist Warehouse investors will own 86 per cent of the merged group. It will own Sigma’s pharmaceutical distribution business, its chemist franchises such as Amcal, as well as the lucrative front-of-store business which supplies beauty, vitamins and household goods.Advertisement Chemist Warehouse says its stores inspired an episode of Aussie TV sensation Bluey, which itself has gone global with an appearance in the 2022 annual Macy’s Thanksgiving Day Parade in New York.episode. We have our ownThat might account for the huge reaction last week when Sigma and the ACCC announced the concessions it was offering to allay some of the watchdog’s concerns about how Sigma’s franchise chemists such as Amcal will compete against Chemist Warehouse’s own franchises.
The ACCC said it was delaying its decision on the deal to allow feedback on these proposed undertakings. “While the ACCC is publicly consulting on this undertaking, this should not be interpreted to mean that this, or any other form of undertaking, will ultimately be accepted by the ACCC,” the watchdog’s chair, Gina Cass-Gottlieb, said.
Sigma’s boss, Ramsunder, was much more forthcoming after the group’s financial results last month, assuring Sigma franchisees about the future of their business with the group post-merger.
Australia Latest News, Australia Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
ASX LIVE: Premier Investments, Sigma Healthcare, Chemist Warehouse, KMD issue results; Fortescue inks green dealAustralian shares are set to edge up. Iron ore, oil, gold lift on China stimulus efforts. Aussie dollar hits 18-month high. Follow updates here.
Read more »
What Bluey can teach developers and pollies about the Australian dreamThe Aussie cartoon ‘Bluey’ launched in Australia in 2018 - and then proceeded to conquer the world.
Read more »
Kelly Clarkson surprises audience with free trip to Queensland inspired by Bluey’s US success7NEWS brings you the latest local news from Australia and around the world. Stay up to date with all of the breaking sport, politics, entertainment, finance, weather and business headlines. Today's news, live updates & all the latest breaking stories from 7NEWS.
Read more »
How Custard singer David McCormack, the voice behind Bandit from Bluey, finds work-life balanceDave McCormack is the frontman of Aussie rock band Custard, the voice of Bluey's dad Bandit, an award-winning composer for film and television, a husband and the father of two daughters. He shares how he fits it all in and finds ways to switch off.
Read more »
Move over, Bluey: meet Australia’s newest canine starThe search for a dog to play the title role in new film Runt, based on a bestselling children’s book, led to a foster home in Geelong.
Read more »
Move over, Bluey: meet Australia’s newest canine starThe search for a dog to play the title role in new film Runt, based on a bestselling children’s book, led to a foster home in Geelong.
Read more »