On October 1, MercadoLibre fell 3.05% in regular trading, trading at $1,677.245/share, with turnover of $304 million. The decline came amid broad weakness in the online retail sector and growing regulatory uncertainty surrounding the company's pharmacy expansion in Brazil.
MercadoLibre recently announced its pharmacy unit would begin selling prescription drugs in Brazil, targeting 25 pharmacies by year-end with a medium-term vision of 250 locations. In response, Brazilian drugstore association Abrafarma formally questioned the national health regulator over MercadoLibre's aggressive push into online pharmaceutical retail, urging an immediate regulatory review. The letter emphasized that innovation must remain within the limits defined by sanitary regulations. The dispute has already weighed on Brazilian pharmacy stocks and added a layer of regulatory risk to MercadoLibre's diversification strategy.
Within the Broadline Retail sector, stocks declined broadly. Among individual stocks, Amazon.com fell 0.98%, Alibaba fell 0.06%, Sea Ltd fell 2.76%, PDD Holdings fell 1.14%, and eBay fell 0.96%.
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