Pharmacy group Terry White has announced its support for the Ebos Group’s takeover offer.
Ebos Group, a wholesaler and distributor of healthcare goods which holds a little over 50 per cent of the shares in Terry White, has offered to acquire all the shares it currently doesn’t hold at the company.
Ebos acquired its current shares in the group on October 31, 2016, when the former Terry White Group merged with the Ebos-owned Chemmart business.
Acquiring the remaining shares will make Terry White a 100 per cent-owned subsidiary of Ebos.
According to Terry White, the company has accepted the proposal to support the future growth of the company.
The group said the transaction will enable the Terry White Group and the TerryWhite Chemmart pharmacy network to continue to innovate, pursue further expansion opportunities and accelerate the execution of its growth strategies.
The shares will be acquired for cash consideration of $3.55 per share by way of a scheme of arrangement.
The Terry White Group’s franchised outlets will operate as part of Ebos Group’s broader healthcare business and will remain the core retail pharmacy franchise operation of Ebos in Australia.
In July, it was reported that Ebos Group had entered into an agreement with fellow pharmacy groups Chemist Warehouse and My Chemist as a third-party distributor.
The group’s shareholders will have the opportunity to vote on the proposal at the EGM in December this year.
Author: Joyce AbaÐo
This article first appeared on Inside Retail, a sibling publication to Inside Franchise Business.