Listed Robinsons Retail Holdings reported on Friday that it acquired local drugstore chain Rose Pharmacy Inc. through its subsidiary South Star Drug Inc.
In a disclosure, the Gokongwei-led retailer said South Star Drug and Dairy Farm International Holdings Inc. subsidiary Mulgrave Corp. B.V. (MCBV) signed a share purchase agreement to buy Rose Pharmacy.
Dairy Farm acquired a 49-percent share in Rose Pharmacy in 2015 before increasing it to 100 percent in November 2018.
“I am delighted that Rose Pharmacy will be part of our portfolio as it takes us back to our hometown in Cebu, where my father and JG Summit Holdings and RRHI founder John Gokongwei Jr. started as an entrepreneur. Mr. John also admired Rose Pharmacy for its strong brand reputation in the Visayas and Mindanao,” Robinsons Retail President and Chief Executive Officer Robina Gokongwei-Pe said in the disclosure.
“The deal also further bolsters our strategic partnership with Dairy Farm to strengthen our position in Philippine multiformat retailing. We first worked with Dairy Farm for the acquisition of Rustan Supercenters Inc. in 2018, which deepened our footprint in the premium supermarket space. Our acquisition of Rose Pharmacy yet again offers ripe opportunities for innovation through strategic synergies,” she added.
Rose Pharmacy was established as a family-run drugstore in Cebu City in 1952. It generated P9 billion in net sales last year and has over 300 branches in the Visayas and Mindanao.
“Rose Pharmacy is a very strategic addition to our drugstore portfolio with its highly regarded brand in VisMin and complementary network to South Star Drug’s strong presence in Luzon and Metro Manila,” South Star Drug Managing Director David Goh said.
“Together, we can leverage our scale and synergies to drive wider product assortment, better customer service and offer greater value to our customers across Philippines when they need it most,” he added.