Sybos set to sell remaining stake in listed Ebos

Ebos describes itself as the largest and most diversified Australasian marketer, wholesaler and distributor of healthcare, medical and pharmaceutical products. Picture: Getty Images

Market participants expect Sybos to make a total exit from Ebos when escrow arrangements expire as it is diversifying away from the pharmacy industry.

The $7bn Australia and New Zealand-listed group is pivoting away from wholesale and retail pharmacy into medical devices and animal care, neither of which are the businesses of Sybos.

It is also expanding into Southeast Asia.

It comes as Sybos last week offloaded a 13.2 per cent stake in the business for $880m through UBS, selling shares at $NZ35.50 ($33) each, an 8.9 per cent discount to the last closing price of $38.95 ($36.20) per share.

Sybos is owned by Hong Kong-based pharmacy company Zuellig Group, and when it sold Ebos its Australian wholesale pharmacy business Symbion in 2013, it received a 40 per cent stake in Ebos as payment.

Sybos has not sold shares in the Australian-listed Ebos since 2020 and a term sheet sent to investors said it continued to remain supportive of the company’s business and announced strategy.

The decision to reduce its ownership supported its diversification of assets and redeployment of capital to other growth opportunities. Following the selldown, Sybos would have a shareholding of about 4.9 per cent, held under a voluntary escrow for 90 days.

In 2019, Sybos sold about 9.3 per cent of its interest in Ebos through UBS, and the trade was worth $NZ338m, and in 2020, it sold 9.2 per cent.

Ebos describes itself as the largest and most diversified Australasian marketer, wholesaler and distributor of healthcare, medical and pharmaceutical products. It is also a leading marketer and distributor of recognised consumer products and animal care brands.