Firms: Carter Newell (Terry White Group Investments Limited); JL Lawyers (Chemplus)
Deal: Terry White merged with Chemplus Pty Ltd, the franchisor of one of South Australia’s largest retail pharmacy networks (Chemplus).
Key players: The Carter Newell team was led by corporate partner Matt Couper (pictured below), assisted by solicitor William Keating.
Deal significance: According to a release by Carter Newell, once integrated, Terry White Group Investments Limited (TWC GIL) and Chem Plus will form the largest retail pharmacy network in South Australia with eight per cent market share.
Chemplus is the franchise management entity that supports the South Australian-based Chemplus network of more than 60 retail pharmacies operating as franchisees throughout metropolitan Adelaide and regional South Australia.
The transaction received positive endorsement from the existing Chemplus network, with each pharmacy owner signing a letter of support prior to Completion.
Under the terms of the share purchase agreement, the former chairman of Chemplus, Scott McGregor, has been appointed as a director of TWC GIL, while former chief executive officer Nick Tsamaidis will remain in a senior management position within the Chemplus business.
The amount paid by TWC GIL to Chemplus’s former shareholders was structured as a core cash payment on Completion with deferred consideration elements conditional upon meeting certain objectives in the period following completion.