October 27, 2015
There could be a major drugstore merger in our midst.
Walgreens Boots Alliance, the parent company of the Walgreens drugstore chain, is said to be purchasing competitor Rite Aid for about $10 billion. If the acquisition is approved, it would combine the number two and three largest chains in the sector in the United States.
Walgreens’ management will have its fiscal fourth-quarter conference call tomorrow, and a deal could be announced during that presentation.
The news has spiked up Rite Aid’s stock nearly 40 percent, to close to $8.50 per share. Walgreens has about 13,200 stores, while Rite Aid operates just under 4,600.