Clicks Group is buying Pick n Pay Retail Pharmacy Business, including 25 in-store pharmacies which will be rebranded to Clicks, for an undisclosed amount. The JSE-listed company said the acquisition will increase its national presence to 632 pharmacies.
Clicks, which is the largest retail pharmacy network in the country, added that it will acquire the pharmacy licences and ethical drug stock, while all staff employed in the pharmacies will transfer from Pick n Pay to Clicks.
“The acquisition of the pharmacy chain from Pick n Pay accelerates our strategy of extending the convenience and accessibility of the Clicks pharmacy network,” Vikesh Ramsunder, CEO of Clicks Group, said.
“Currently 50% of the country’s population live within 6 kilometres of a Clicks pharmacy and we aim to improve this over time as we get closer to customers.
“We welcome the opportunity to bring our experience in retail pharmacy to customers of Pick n Pay.”
The proposed transaction is subject to approval by competition and regulatory
authorities.
Pick n Pay chief operating officer Adrian Naude said Pick n Pay has only held a relatively small number of pharmacies over the years.
“We have recently set out our key strategic objectives in terms of future growth, and these do not include the development of a large pharmacy division.
“Our main objectives in terms of transferring our pharmacy business have been to ensure that our customers have a seamless transition and maintain the quality of service they have been used to with Pick n Pay, and that our pharmacy staff are looked after.
“We are pleased to have reached an agreement with Clicks which meets both of these objectives.”
The transaction is non-categorised in terms of the JSE listings requirements for Clicks
Group and Pick n Pay and this announcement is therefore made on a voluntary basis.
The transaction will not have a material impact on the earnings and financial position of
either company.
