Regulators caught off guard by Chemist Warehouse's reverse merger with Sigma
The competition regulator and the powerful Pharmacy Guild were both unaware of the two group's plans to merge before the deal leaked yesterday.
The nation's largest pharmacy retailer Chemist Warehouse is finally headed for the ASX - just not via the initial public offering many retail investors (and equity capital markets operatives) had hoped for.
Yet while regulators are certain to closely examine the pharmacies giant's planned reverse merger with ASX-listed Sigma Pharmaceuticals, they were also just as blindsided by the deal as the rest of us.
Capital Brief has established that The Pharmacy Guild of Australia, considered the most powerful lobby group in Australia, was unaware of the plans for Chemist Warehouse's reverse merger with Sigma until they leaked yesterday.
The ACCC (which has vociferously complained about not being given advance warning of mergers) was also unaware of the transaction. "The ACCC has not been notified of this transaction. If the potential transaction progresses, the ACCC would consider if a public merger review into the impact on competition is required. Details of any public review would be posted on our public register," the spokesperson said.
