Original article by Tom Richardson, Carrie LaFrenz
The Australian Financial Review – Page: 1 & 18 : 14-Jun-24

The Australian Competition & Consumer Commission has indicated that it has major concerns regarding Chemist Warehouse’s proposed $8.8 billion merger with Sigma Healthcare. The ACCC is particularly worried about the impact on smaller pharmacies that are supplied by Sigma in its role as a wholesaler. In a statement expressing its initial views on the proposed merger, the ACCC indicated that the transaction may lead to increased prices for the goods and services provided by pharmacies, while it could substantially lessen competition in pharmacy retailing. It is possible that Chemist Warehouse may have to sell some of its stores in order to get the ACCC’s approval for the merger.

CORPORATES
CHEMIST WAREHOUSE, SIGMA HEALTHCARE LIMITED – ASX SIG, AUSTRALIAN COMPETITION AND CONSUMER COMMISSION