Day Lewis is “very, very keen” to buy any Lloydspharmacy branches that come up for sale as a result of a competition watchdog's investigation its acquisition of Sainsbury’s pharmacy business, C+D has learned.
The Competition and Markets Authority (CMA) said last week that the deal will reduce consumer choice in 78 areas. Day Lewis CEO Kirit Patel said Lloydspharmacy is more likely to try and sell some of its own branches to resolve this issue, rather than give up any of the Sainsbury's pharmacies.
"I don't believe [Sainsbury's] will allow them to shut a pharmacy," he told C+D in an exclusive interview yesterday (December 16). Mr Patel predicts this would result in between 25 and 30 Lloydspharmacy branches coming up for sale.
Day Lewis would be interested in buying Lloydspharmacy branches because they are “very much the Day Lewis type” of community pharmacy, and would be easier to “integrate” into the chain, Mr Patel added.
The chain has not opened talks with Lloydspharmacy because it is “rude...to go knocking on someone’s door before there are shops for sale”, he stressed.
Competition consultant Vivienne Robinson told C+D last week that some of Lloydspharmacy's competitors may try to “scupper” the multiple's deal with Sainsbury's if they ae given the opportunity to input into the CMA investigation.