Britain's Office of Fair Trading is to investigate the distribution of medicine in the UK after US drug maker Pfizer awarded an exclusive licence to Alliance Boots.
Pfizer's move last month to appoint Unichem, the drug wholesaling arm of Alliance Boots, as the sole supplier of its medicine, has caused an outcry from rival distributors and some chemists who claimed the deal would hamper competition.
Until recently, all drugs were distributed through a network of wholesalers to pharmacists, dispensing doctors and hospitals.
'The study will consider the likely impact of such changes on competition, the NHS (National Health Service) and patients and will report back by the end of the year'.
It added that: 'other suppliers are also considering introducing significant changes to their own distribution arrangements.'
In response to the investigation, Alliance Unichem said it would not affect the operation of its distribution arrangements with Pfizer.