Mobile World officially acquires Phuc An Khang Pharmacy

December 19, 2017 | 16:32

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Tran Kinh Doanh, a member of the Mobile World Group (MWG) Board of Directors, confirmed that the company has acquired Phuc An Khang Pharmacy to officially set foot in the pharmaceutical sector.

Phuc An Khang Pharmacy is renamed An Khang Pharmacy along with the logo of MWG

The business deal has been completed and the partnership has launched a new brand name—An Khang Pharmacy.

This is the first time a representative of MWG confirmed the acquisition of the Phuc An Khang pharmacy chain. Earlier, there were wide-scale speculations and some stock companies have produced analysis of this possibility.

Phuc An Khang was established in May 2006 with a total of 14 stores in Ho Chi Minh City. Meanwhile MWG planned to jump into pharmaceutical retail at the beginning of this year and expected to expand to 50 or 60 stores next year.

Also, at this moment, MWG has been acquiring shares of Tran Anh Group (TAG). Doanh said that MWG has started to take over the business, IT system, and accounting departments, and sent key personage to manage TAG. The total M&A funds of MWG reached VND2,500 billion ($110 million).

Electronic giants setting foot in pharmaceutical retail

In order to set foot in the pharmaceutical retail market, Mobile World Group (MWG) has chosen Phuc An Khang as the first M&A target, DigiWorld (DGW) is determined to deliver functional foods with the first products of Kingsmen, and Nguyen Kim tried to rise its shareholding by 51.14 per cent to dominate Lam Dong Pharmacy (LDP).

MWG to spend $110 million acquiring electronics and pharmaceutical store chains

Mobile World Investment Corporation (MWG) plans to spend VND2.5 trillion ($110.3 million), five times as much as the initial figure planned for mergers and acquisitions activities this year, to acquire a number of electronics store and pharmaceutical store chains this year, according to newswire Vnexpress.

Pharmaceutical M&A on the horizon

The Vietnamese pharmaceutical market harbours immense potential, but domestic enterprises are exploiting only half of this at best. To not lose ground on their home turf, domestic players may increase their scale and capacity through merger and acquisition (M&A) in order to compete against foreign rivals.

By By Minh Vu

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