PRESS: Russia’s Pharmacy Chain 36.6, A5 preparing for merger

MOSCOW, Dec 18 (PRIME) -- Two key Russian market players Pharmacy Chain 36.6 and Pharmacy Chain A5 can merge soon, business daily Vedomosti reported Friday, citing three people close to the two companies.

The united company may become a leader of the market with a 5.6% share countrywide and a 17% one in Moscow and the Moscow Region, as reckoned by a DSM Group analyst Yulia Nechayeva and CEO of the agency Sergei Shulyak. Pharmacy Chain 36.6’s market share was 3.3%, it was the second largest pharmacy in the country, and A5 one 2.4% in January–June 2015. Their revenue was 16.1 billion rubles and 11.5 billion rubles in the period, respectively.

According to the sources cited by Vedomosti, the schedule of merger will be as follows: co-founders of A5 Roman Buzdalin and Sergei Solodov, who own 68.75% in the company, will sell their stakes to companies of businessman Roman Avdeyev. The businessman will later unite the two chains jointly with investment fund Baring Vostok which will remain with a 31.25% stake in A5.

The sources did not specify how Avdeyev or Baring Vostok will acquire Pharmacy Chain 36.6 from Cyprus-based Palesora which owns an about 79% interest.

The Federal Antimonopoly Service reported Thursday that it allowed Avdeyev’s holding Rossium to acquire an undisclosed company – the deal is confidential – under a condition that the competition on pharmacy market will not be violated.

(70.5806 rubles – U.S. $1)

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