Tianjin Pharma Chain, Jingyitang Pharma in drugstore merger
Shanghai. January 14. INTERFAX-CHINA - Drug retailers Tianjin Pharmaceutical Group Chain Co. Ltd. (Tianjin Pharma Chain) and Tianjin Jingyitang Pharmaceutical Co. Ltd. (Jinyitang Pharma) have merged to form Tianjin Pharma Group Jingyitang Chain Drug Store Co. Ltd., state media reported Jan. 13.
According to the official People's Daily, Tianjin Pharma Chain's parent company, Tianjin Pharmaceutical Group Co. Ltd., will hold a 51 percent stake in the new company, while Jingyitang Pharma's parent, Tianjin Jinyitang Investment Group, will hold 49 percent. The deal has the approval of regulators.
Tianjin Pharma Chain currently owns a chain of more than 70 drugstores in Tianjin Municipality, while Jingyitang Pharma owns more than 110. All the stores will operate under the new name following the deal.
The two companies intended to combine procurement and sales channels and expand their product portfolios through the merger, according to a previous announcement by Jingyitang Pharma.