Chemist Warehouse in talks to list on ASX

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Pharmacy giant Sigma Healthcare has suspended its shares from trading amid market speculation it could soon do a deal that will lead to privately owned Chemist Warehouse listing on the Australian stock exchange.

Sources aware of the transaction said the final touches on the deal were being worked through on Wednesday afternoon that would mean Chemist Warehouse takes majority control of Sigma which, along with owning the Amcal brand, has a large pharmaceutical distribution business.

Chemist Warehouse looks set to become an ASX-listed company.

Sigma asked for its shares to be paused from trading 30 minutes after receiving an inquiry from this masthead regarding the veracity of the rumours.

Chemist Warehouse has been working towards an ASX listing for most of 2023, with its founding families – the Gances and the Verrocchis – looking to expand the big box pharmaceutical retailer.

Sources speaking on the condition of anonymity due to confidentiality agreements said Chemist Warehouse had been pushing for a deal to take board control of the ASX-listed Sigma and majority ownership in the group. As part of the transaction, shareholders could be tapped for $400 million to help tidy up Sigma’s balance sheet and provide more liquidity, though the final shape of any capital requirements was still being worked out.

The sources said HMC Capital boss David Di Pilla was involved in the transactions. HMC Capital has been contacted for comment.

HMC has been assisting Chemist Warehouse with its plans, including considering a potential ASX listing via a reverse listing through Sigma.

More to come.

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