The Philippine Competition Commission approved the planned acquisition of AC Healthcare Holdings Inc., the healthcare unit of Ayala Corp., of additional stake in drugstore chain Generika.
Ayala Corp. said in a disclosure to the stock exchange AC Health received PCC’s approval for the purchase of an additional 2.5-percent interest in Generika which would boost its total stake to 52.5 percent.
“With this, AC Health will proceed with the closing of the increase in the stake from 50 percent to 52.5 percent as regards Actimed Inc., Novelis Solutions Inc. and Pharm Gen Ventures Corp. The increase in the stake in Erikagen Inc. is still subject to certain conditions precedent,” Ayala Corp. said.
Generika is one of the pioneers in the retail distribution of quality generic medicines in the country with more than 800 stores nationwide. It is the third largest player in retail pharmacy by the number of stores.
The transaction will enable Generika group to raise additional capital to fund operations and store expansion. AC Health initially acquired a 50-percent stake in Generika in 2015.
Aside from Generika, AC Health’s portfolio includes FamilyDOC, a new chain of community-based primary care clinics, online pharmacy MedGrover which also offers medicine delivery and corporate medicine benefits management and Aide, a home health application which provides health services in the comfort of patients’ homes.
AC Health also obtained PCC approval last month for its planned acquisition of a 75-percent stake in Negros Grace Pharmacy Inc.
PCC said in a decision that upon the review of the findings and recommendation of the Mergers and Acquisition Office, the transaction would not likely result in the substantial lessening of competition.
Negros Grace and its subsidiaries operate 70 drugstores.