CMA to probe Sainsbury's pharmacy sale to Lloyds owner

9th Sep 2015 15:44

(ShareCast News) - Sainsbury's sale of its in-store pharmacies to Lloyds Pharmacies owner Celesio will be investigated by the UK competition regulator.The Competition and Markets Authority (CMA) said it would probe the deal to see if it would result in a substantial reduction of competition within any local or wider regional markets in the UK.The CMA launched its 'phase 1' investigation following the European Commission's decision to refer the case to the United Kingdom.When it announced the deal in late July, Sainsbury's said it was forming a "strategic partnership" with Lloyds as it would receive commercial annual rent payments for each of its 281 pharmacies, including 277 in-store pharmacies and four located in hospitals, all of which will be rebranded as Lloyds Pharmacy.