Walgreens Boots Alliance will acquire from China National Accord Medicines Corporation 40% of Sinopharm Holding Guoda Drugstores, a company that operates in the direct management and franchise of pharmacies in China. The transaction will require a capital increase of 2,767 billion renminbi (about 416 million dollars).
The transaction is subject to regulatory approval and other closing conditions. Once finalized, the Walgreens Boots Alliance holding will be treated as an investment valued at equity
GouDa is a Chinese pharmacy chain, with plans to expand across the country amid ongoing health sector reforms and the growing importance of the pharmacy channel. Walgreens Boots Alliance, a global company with roots in pharmacy, believes it can help GuoDa sustain its growth goals.
"We are very happy with this strategic investment in GuoDa - said Stefano Pessina, executive vice chairman and CEO of Walgreens Boots Alliance - It is the leading pharmacy chain in China and we believe we can contribute positively to its continued development, thanks to the our global pharmacy expertise. We have already had a presence in China for around 10 years, initially through Alliance Boots, and are now excited to have the opportunity to further invest in China's high-growth retail pharmacy sector.”
