Sigma Healthcare (ASX: SIG) has welcomed the announcement by the Australian Competition and Consumer Commission (ACCC) that it does not oppose the proposed merger with the Chemist Warehouse Group (CWG), subject to the undertaking that Sigma has provided.
The decision follows a rigorous merger review process, with extensive public consultation by the ACCC and engagement with the parties.
“The ACCC decision marks a critical milestone for the proposed transaction and provides us with the conviction to progress with the next steps in the process,” Sigma CEO and Managing Director, Vikesh Ramsunder, said.
“The proposed transaction has the potential to create a leading ASX listed healthcare company through the combination of the complementary strengths of Sigma’s state-of-the-art pharmaceutical distribution infrastructure with Chemist Warehouse Group’s retailing know-how.
“We believe the proposed merger will create a stronger business and accelerate our long-term growth ambitions, for the benefit of our stakeholders.”
Sigma is well-advanced in preparing the documentation shareholders require to vote on the proposed transaction.
This regulatory review is anticipated to occur this calendar year.