Barrenjoey says ACCC overplaying Chemist Warehouse’s supply risks

Carrie LaFrenz and Jemima Whyte

Jun 14, 2024 – 4.27pm

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The competition regulator entirely ignored a major wholesaler when it warned that smaller pharmacies may have fewer independent suppliers to choose from should Chemist Warehouse be allowed to merge with Sigma Healthcare in an $8.8 billion reverse takeover, Barrenjoey says.

The investment bank’s brokers said CH2 – Clifford Hallam Healthcare – appeared not to be included in the calculations of the wholesale retail pharmacy supply chain when the Australian Competition and Consumer Commission initially reviewed the mega transaction.

Carrie LaFrenz is a senior journalist covering retail/consumer goods. She previously covered healthcare/biotech. Carrie has won multiple awards for her journalism including financial journalist of the year from The National Press Club.

Jemima Whyte writes on business, specialising in companies, capital markets and innovation. Jemima has reported on business for The Australian Financial Review for more than 13 years.