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    Home > Active Ingredient News > Drugs Articles > Mergers and acquisitions in the pharmacy industry accelerated, and the chain rate continued to rise.

    Mergers and acquisitions in the pharmacy industry accelerated, and the chain rate continued to rise.

    • Last Update: 2020-08-28
    • Source: Internet
    • Author: User
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    Pharmaceutical Network Industry Dynamics Recently, the State Drug Administration published the 2019 Annual Report on Drug Regulatory Statistics (hereinafter referred to as the Annual Report).
    the end of 2019, there were 544,000 licensed pharmaceutical licensees nationwide, including 14,000 wholesale enterprises, 6,701 retail chains, 290,000 retail chain stores and 234,000 retail pharmacies, according to the annual report.
    According to the data, minus 14,000 wholesale enterprises, the number of licensed pharmaceutical retail enterprises nationwide is about 530,000, of which the chain rate of nearly 56%, compared with 2018 chain rate (nearly 53%) is on the rise.
    notably, the number of retail pharmacies at the end of 2018 and 2019 was 234,000, indicating that there were few new single pharmacies last year, and the number of new pharmacies was basically chains and stores.
    , in practice, drugstore chains are a business model for the circulation of medicines.
    drug circulation according to the different sales model can be divided into wholesale and retail, drug retail according to the different business philosophy can be divided into monolithic drugstores and chain pharmacies.
    generally believed in the pharmaceutical industry, retail pharmacy chain is becoming the trend of the pharmaceutical retail industry.
    in recent years, the consolidation of mergers and acquisitions in the retail pharmacy industry has accelerated further, thanks to the rapid expansion of the "self-built plus mergers and acquisitions" model and the forced exit of some single pharmacies as regulation of the pharmacy industry has tightened.
    Now july 25, China National Pharmaceuticals unanimously issued "on the State Pharmaceutical Holdings State Congress Pharmacy Co., Ltd. public delisting of the transfer of 100% of the shares of Cheng dafang Yuan Pharmaceutical Group Co., Ltd.," made it clear that the 24th National Congress Pharmacy has been successfully delisted into a generous 100% equity transfer project, the transaction price of 186 million yuan.
    same day, the National University pharmacy and Liaoning Cheng university signed the "property rights transaction contract."
    May 9, Liaoning Cheng university announced that in order to continuously enhance its sustainable development capacity, highlight the core industries, and further optimize the allocation of resources, it intends to transfer through the Dalian Property Exchange public auction company held a limited public 100% stake in Cheng dafang Yuan Pharmaceutical Group, the estimated transfer price of nearly 1.86 billion.
    addition to the above enterprises, since this year, Guangdong Dasinlin pharmacy, ordinary people pharmacy, Yifeng pharmacy and other listed pharmacies chains are also accelerating mergers and acquisitions integration.
    For example, Guangdong Dasanlin Pharmacy this year Q1 mergers and acquisitions involving 166 stores, while the company set up a wholly-owned subsidiary in Jiangxi Province;
    number of Q1 direct stores increased by 136, up 2.17% from the end of 2019 and 172% month-on-month, with a marked increase in expansion.
    Yifeng Pharmacy had 4,869 stores as of Q1, with a net increase of 117 stores.
    , the market share of China's head chain pharmacies is increasing year by year.
    the four listed drugstore chains, Namea, Dasinlin, One Heart hall and Yifeng Big Medicine, the total market share has increased from 5.91 percent in 2015 to 10.82 percent in 2019H1.
    however, compared with the United States, Japan and other countries, China's retail pharmacy field of concentration is still a large room for improvement, the future development prospects of leading enterprises will be very broad.
    In the view of the industry, with the increase in labor compensation, rental costs of drugstore chains, the corresponding sales costs and management costs continue to strengthen, chain management has become a trend, from the development of China's pharmacy industry, it is expected that the second half of this year pharmacy chain rate will continue to rise, mergers and acquisitions integration reshuffle will continue.
    next few years, China's drugstore chain business scale will continue to improve.
    .
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