The chain rate of the pharmacy industry has increased, and another giant chain of pharmacies has been sold

"Pharmaceutical Network Industry Dynamics" On November 2, Omei Medical issued the "Announcement on the Acquisition of Part of Sichuan Zhenghexiang Health Pharmacy Chain Co., Ltd. and the increase in capital and the signing of an investment agreement."
The Announcement said that in order to accelerate the layout of the domestic market and enhance the company's overall competitiveness, Omei Medical intends to sign investment agreements with Chen Satellite, Guanghan Zheng and Rong Pharmaceutical Technology Service Center (limited partnership), Guanghan Zheng and Jing Pharmaceutical Technology Service Center (limited partnership), Zhao Xin, Zhai Zhibin and Sichuan Zhengxiang Health Pharmacy Chain Co., Ltd. With its own capital of 230 million yuan, the aforementioned transferant held part of the Sichuan Zhengxiang Health Pharmacy Chain Co., Ltd. ("Sichuan Zhengxiang"), and with no more than 170 million yuan to increase its capital, the two total acquisition of not less than 14.75 percent of the equity.
At the same time, the Minsheng Aomei University Health Industry Fund, which is involved in the establishment of Omei Medical, also plans to simultaneously take a 14.75 percent stake in Sichuan Zhengxiang, which together will hold a 29.5 percent stake in Sichuan Zhengxiang and send two directors to it.
industry analysts believe that Omei Medical's acquisition, in addition to short-term performance growth is expected to improve, will further explore the current environment in the long-term value of the drugstore chain channels.
In fact, for this investment, Omei Medical also made it clear that is based on the company's development needs, around the development of the domestic market, improve the "manufacturing design and wholesale and retail channels" strategic layout, thereby enhancing the overall competitiveness of the company.
the completion of this transaction, it will work with Sichuan Zhengxiang to carry out in-depth cooperation to accelerate the layout of domestic OTC channels, specifically for the domestic OTC channels to develop new products, to "industry and circulation and brand" competitive thinking depth of participation in the domestic market.
According to public information, Sichuan Zhengxiang is a well-known domestic chain of pharmacy brands, its drugstore chain is mainly concentrated in Sichuan, Fujian, Yu three provinces, is the southwest region's top drugstore chain companies.
, the company has 12 retail chains, a Chinese pharmaceutical production enterprises, a wholesale company, a clinic chain, more than a thousand direct stores.
service network covers Sichuan, Guizhou, Hunan, Chongqing four provinces and municipalities directly under the Central Government, 35 municipal markets, 150 county-level market.
data show that as of July 31, 2020, Sichuan Zhengxiang's seven-month operating income was 970846060 yuan, operating profit was 32900259 (unaudited), and 2019 full-year revenue was 1550425652.
addition, Omei Medical also said that Sichuan Zhengxiang has a strong management output capacity, cross-regional expansion and integration of management capabilities outstanding.
the successful transaction, the two sides will be able to give full play to synergies to promote the development of the company's domestic market business, while accelerating the growth of the underlying company.
fact, in recent years, as policy regulations and store opening restrictions have tightened, small chains and monostores have been being pushed out, leaving more room for acquisitions and store opening opportunities for companies.
the industry generally believes that with the corresponding sales and management costs continue to rise, the future of national and regional leading enterprises will use capital to accelerate integration, and small and medium-sized pharmacy chains will be constantly acquired.