(Yicai Global) Jan. 9 -- Yifeng Pharmacy Chain Co. said it plans to buy 244 stores from three firms in its first acquisitions this year.

The Changde-based group said it will purchase a 60 percent stake in Jiangxi Tianshun Pharmacy Chain Co. for CNY40.2 million (USD6.2 million), 43 Liuyang Tianshun Pharmacy Chain Co. shops for CNY44.5 million, and a 51 percent share of Wuxi Jiuzhou Pharmaceutical Co. for CNY168 million.

"The newly-opened stores can guarantee a strong self-control with high quality, making it easy to explore new modes and new products," Jin Yi, a partner at Roland Berger Management Consultants Co., told Yicai Global.

Competition among pharmacy chains for acquisitions has intensified in the past few years. Yifeng Pharmacy opened 778 stores and acquired 355 shops from 2015 to 2017. LBX Pharmacy Chain JSC has opened 618 new facilities and purchased 705.

DaShenLin Pharmaceutical Group Co. has purchased 370 locations in less than half a year. Yunnan Hongxiang Yixintang Pharmaceutical Co. has added 2,605 outlets since it listed in 2014.

"Several listed pharmacy chains such as Yifeng Pharmacy and Yixintang Pharmaceutical enjoy financial advantages, thus, they can make acquisitions rapidly since non-listed companies do not have such advantages," Jin said. "The whole capital market is investing in pharmacy chains for their industrial integration dividends, and it is willing to see the expansion of the listed pharmacy chains while supporting their acquisitions."