Herbert Smith Freehills navigates successful ACCC clearance for Chemist Warehouse in Sigma merger

The proposed merger announced in December 2023, will bring together two of Australia’s most well known and trusted healthcare brands to create a leading healthcare wholesaler, distributor and retail pharmacy franchisor that is estimated to have a market capitalisation of more than A$28.5 billion.  

After an extensive investigation, the ACCC found that with the undertaking, the proposed merger is unlikely to substantially lessen competition and that there will continue to be effective competition at all levels of the pharmacy supply chain.  

Herbert Smith Freehills drew on its market leading competition practice, supported by its extensive healthcare sector experience, to achieve this result.  

Herbert Smith Freehills’ competition team was led by partners Linda Evans and Stephanie Panayi, supported by a team of competition lawyers including Richard Robinson, Gabrielle Doyle, Caris Cadd, and Tim Porter. 

Stephanie Panayi said: “This is a fantastic outcome for Chemist Warehouse, and we are very appreciative of the opportunity to work with the Chemist Warehouse team to achieve this milestone.  

“We see the clearance as recognising dynamic and vibrant competition at all levels of the supply chain leading to choice and variety for Australian consumers.”