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Japanese Drug Wholesalers Call Off Planned Merger Citing Regulatory Hurdles

This article was originally published in PharmAsia News

Executive Summary

Japan's biggest drug wholesaler Mediceo Paltac called off a plan to buy rival Alfresa Holdings, citing a delay in approval by regulators. At a Jan. 9 press briefing, Mediceo Executive Director Genichiro Tanabe commented that both companies realized that it would take longer than the previously planned April 1 date for the Fair Trade Commission to clear the deal. The delay will result in high risks of loss of profits and unrealized synergy effects. However, both Tanabe and Alfresa board director Shozo Hasebe did not rule out the possibility of a merger in future. Mediceo Platac launched a ¥203 billion bid for Alfresa. (Click here for more - Japanese language

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