Belgian Competition Authority authorizes Multipharma's acquisition of Goed pharmacies under certain conditions
Multipharma, which operates a network of 279 pharmacies in Belgium and a wholesale distribution centre, notified to the Belgian Competition Authority (BCA) its project to acquire Popelin, a chain of 92 pharmacies in Flanders, with wholesale distribution of pharmaceutical products and support activities for the pharmaceutical sector.
The BCA assessed the impact of the acquisition on the concerned markets, considering the specific aspects of these markets, especially the legal and regulatory frameworks governing wholesale distributors and pharmacies. Indeed, this sector is heavily regulated, but it is still subject to market dynamics and competition. The BCA focused its attention on the potential effects of the merger on prices, quality and access to pharmaceutical products and services in both wholesale and retail distribution.
The BCA identified a risk that Multipharma’s market power would increase in 14 local markets near Mechelen and Willebroek.
To address these risks, Multipharma proposed the following commitments to the BCA:
- In Mechelen, Multipharma has undertaken to divest four pharmacies, not to apply for any new licences and to obtain the approval of the BCA before acquiring any existing licences.
- In Willebroek, Multipharma has undertaken to permanently close two pharmacies that had been temporarily closed, not to apply for any new licences and to obtain the BCA’s approval before acquiring any existing licences.
These commitments were submitted to competitors, which had the opportunity to comment on them in December 2024. Following the consultation of the market and an in-depth analysis, they were deemed sufficient by the BCA to ensure that the takeover would not negatively impact competition.
On 4 February 2025, the BCA finally approved Multipharma’s acquisition project under the commitments outlined above. Those commitments will remain in force for a period of five to ten years.
