The presence of the Mexican multinational Femsa in the pharmacy market of Ecuador with the acquisition of the GPF Corporation, Fybeca Group, will mean the entry of a strong competitor in this business.
Femsa, which operates in the beverage industry, announced that the purchase agreement to acquire the GPF Corporation will be made through its subsidiary Socofar, a pharmacy and distribution platform with a strong presence in Chile. In 2015, Femsa came to control most of the business of this company.
What does this new purchase imply in Ecuador? Femsa will acquire the second largest group of pharmacies operating in Ecuador, with a turnover of over 490 million dollars.
The group of the GPF Corporation has managed the Sana Sana and Fybeca chains. According to data reported to the Superintendency of Companies, Econofarm (Sana Sana) had revenues in 2017 for 257.98 million dollars, while Farcomed (Fybeca), about 240.32 million dollars. The group operates around 620 points of sale in the country.
By billing, the Fybeca group was leading the pharmacy market years ago, now controlled by Difare. This conglomerate handles the chains Cruz Azul and Pharmacys and invoiced last year 688,23 million dollars, according to reports from the Superintendence of Companies. Difare has expanded its operations with the opening of new stores in recent years.
“GPF is a strong local operator with an attractive growth profile that will help Socofar to strengthen a base from which it can continue its expansion in the region,” Femsa said in a statement, which did not specify the amount of the purchase.
The transaction of the Femsa business to acquire the GPF group is subject to the approval of the corresponding authorities. The multinational expects the closure to occur during the first quarter of 2019. (I)