Berjaya Corp Bhd (BCorp), through its indirect subsidiary Morning Charm Sdn Bhd, has entered into a joint venture (JV) to own and operate community pharmacy stores and distribute pharmaceutical and non-pharmaceutical products.
The diversified group told Bursa Malaysia that Morning Charm, which is 80% owned by BCorp’s unit Berjaya Group Bhd, would hold a 75% stake in the JV company Monarch Wonder Sdn Bhd and Melbourne-based CW Retail Asia Pty Ltd would own the rest.
CW and its affiliates (CW Network) supply goods and services to pharmacies and operate pharmacy chains in Australia which include, among others, pharmacies operated under the names of Chemist Warehouse, My Chemist and e-Pharmacy.
“Chemist Warehouse and My Chemist are large pharmacy chains which have a total of 376 stores to date,” said BCorp, whose businesses include direct selling and the trading of household and healthcare products under the Cosway Corp group.
CW Network is one of Australia’s largest pharmacy retailers, with a combined annual turnover of over A$3.2bil (RM9.7bil). It employs over 9,500 workers.
Monarch Wonder will operate a chain of pharmacies in Malaysia and other countries under the co-brand name of Chemist Warehouse Berjaya Asia or such other co-brand names as mutually agreed.
The JV company will supply goods and services to Cosway Pharmacies, which will be rebranded as Berjaya My Chemist pharmacies, and Tigas Alliance pharmacies.
“All Chemist Warehouse Berjaya Asia and Berjaya My Chemist pharmacies are members of Tigas Alliance, a pharmacy banner group in Malaysia which operates pharmacy services fulfillment, marketing and group-buying infrastructure,” BCorp said.
On the rationale for the JV, BCorp said the project would enable the BCorp group to expand and strengthen its pharmacy distribution and retail businesses under the co-brand names, as well as making its foray into the pharmacy warehousing business sector.
BCorp shares gained half a sen to close at 40 sen yesterday, with 20.806 million shares changing hands.
Source: The Star, 4 March 2016