The Australian Competition and Consumer Commission says the proposed merger between Chemist Warehouse and Sigma Healthcare raises "competition concerns" and would be a "major structural change" for the country's pharmacy sector.
The ACCC said the deal would create a "new business model for the pharmacy sector" that "could raise barriers to rivals expanding or entering, which may lessen competition". Chemist Warehouse and Sigma Healthcare entered into a merger deal in December last year that would see the companies become the largest pharmaceutical retailer in the country, with a total value in excess of $8.8 billion.
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