LloydsPharmacy to acquire Sainsbury’s pharmacy business

London-based J Sainsbury Plc (Sainsbury’s) and Celesio AG, Stuttgart, Germany, owner of Lloyds Pharmacy Ltd (LloydsPharmacy) said they entered into a pharmacy partnership. LloydsPharmacy agreed to acquire 281 pharmacies in total, including 277 in-store pharmacies and four located in hospitals, for £125m. All of the Sainsbury pharmacies will be rebranded as LloydsPharmacy. Up to 2,500 Sainsbury’s pharmacy colleagues will transfer to LloydsPharmacy under TUPE. In addition, Sainsbury’s will receive commercial annual rent payments from LloydsPharmacy for each location. The deal is expected to be completed by the end of February next year, subject to regulatory conditions being satisfied.

“We are extremely pleased to be working with Sainsbury’s and look forward to welcoming our new colleagues to the LloydsPharmacy and Celesio family,” said Marc Owen, chairman of the management board of Celesio AG, owner of LloydsPharmacy. “This is a very important milestone for us as we continue to invest in LloydsPharmacy, and our collaboration with Sainsbury's will help to improve the health and wellness of our mutual customers.”