Retailer Aeon and drugstore chains Tsuruha and Welcia said on Wednesday they will merge their businesses by 2027 to form Japan¡¯s largest pharmacy.
Aeon also said it plans to spend about ?102.3 billion ($679 million) to acquire a 13.6% additional stake in Tsuruha from Hong Kong-based hedge fund Oasis Management. Oasis and Aeon each have about a 13% holding in Tsuruha.
Increasing Aeon¡¯s stake would add to its drugstore business, a key growth driver for the firm, which holds 51% of Welcia and 10% of Kusuri No Aoki Holdings in the same sector.
The three companies said they will seek to expand their businesses outside Japan, including the southeast Asian market.
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