Online pharmacy merger prompts CMA investigation

The Competition & Markets Authority (CMA) has launched an investigation into the merger of Pharmacy2U and Lloyds Direct. This follows an initial enforcement order made by the CMA last year. The investigation is to determine whether the merger could result in a substantial lessening of competition in the UK.

Pharmacy2U acquired Lloyds Direct from TheLloydsPharmacy group last year and proposes to merge Lloyds Direct into its operations with the combined business to trade under the Pharmacy2U brand.

Pharmacy2U provides repeat prescriptions to around 750,000 patients a year, whilst Lloyds Direct services 500,000 patients.