Malaysia’s retail pharmacy boom draws billion-ringgit bets as IPO pipeline builds

[KUALA LUMPUR] Malaysia’s retail pharmacy sector is becoming a key dealmaking arena, as private equity firms, regional players and local healthcare chains scale up ahead of a potential wave of major healthcare-retail initial public offerings (IPOs).

The catalyst – news that BIG Caring Group is weighing a blockbuster listing in Bursa Malaysia next year. The merged chain, formed through BIG Pharmacy’s acquisition of 7-Eleven’s Caring Pharmacy in July 2023, could seek a valuation of up to RM20 billion (S$6.3 billion) and raise as much as RM6 billion, Bloomberg reported.

Such a deal, if realised, would dwarf the RM5.2 billion raised in IPOs on Bursa Malaysia so far this year and instantly rank among the country’s biggest listings in a decade.