Proposed merger of Sigma and Chemist Warehouse Group - stakeholder survey

Closed 28 Mar 2024

Opened 15 Mar 2024

Overview

The ACCC is seeking your views on the proposed merger of Sigma Healthcare Limited (Sigma) and CW Group Holdings Limited (Chemist Warehouse) (the proposed merger).

Chemist Warehouse and Sigma both operate in the pharmacy supply chain, including as wholesalers, distributors and franchisors for a large number of community pharmacies.

The ACCC's investigation is focused on the impact of the proposed merger on competition. In particular, we are seeking your views on:

  • how closely Chemist Warehouse’s and Sigma’s franchised community pharmacies compete and the likely impact of the proposed merger on retail prices and service quality
  • how closely Chemist Warehouse and Sigma compete to supply brand and support services to community pharmacies
  • the likely impact of the proposed merger on the wholesaling and distribution of products from manufacturers and to community pharmacies.

This matter is public and you can forward this survey to anybody who may be interested.

The legal test which the ACCC applies in considering the proposed acquisition is in section 50 of the Competition and Consumer Act 2010. Section 50 prohibits acquisitions that are likely to have the effect of substantially lessening competition in a market.

Please provide your response by no later than Thursday 28 March 2024.

Confidentiality

The ACCC treats sensitive information it receives during a merger review as confidential, and will not publish your information. We will not disclose the survey results to third parties (except our advisors/consultants) unless compelled by law (for example, under freedom of information legislation or during court proceedings) or in accordance with s155AAA of the Competition and Consumer Act 2010. Where the ACCC is required to disclose confidential information, we will notify you in advance where possible so that you have an opportunity to be heard. Therefore please clearly indicate if any information you provide is confidential. Our Informal Merger Review Process Guidelines contain more information on confidentiality.

This survey is administered by Citizen Space, an online survey and consultation platform vetted for use by the ACCC. Data is securely stored in Australia and approved for use by government.

Audiences

  • Small business
  • All business

Interests

  • Mergers
  • Competition issues