Sponsored by VMG Health | info@vmghealth.com | 214.369.4888

Walgreens sets deadline for FTC to approve Rite Aid merger by July 1

Deerfield, Ill.-based Walgreens Boots Alliance has issued a declaration of "certified compliance" regarding its proposed acquisition of Camp Hill, Pa.-based Rite Aid. The declaration gives the Federal Trade Commission three months to issue a final ruling on the transaction, according to the Chicago Business Journal.

The companies amended their original agreement in January. Under the amendment, Walgreens agreed to divest up to 1,200 Rite Aid pharmacy stores, 200 more than the amount stated in the original agreement. The companies also agreed to reduce the price of each share of Rite Aid common stock from $9 per share to about $7 per share depending on the number of pharmacy stores Walgreens divests to satisfy the FTC's complaint.

In its initial review of the agreement, the FTC expressed concerns about the deal, arguing the proposed transaction would be anticompetitive.

The companies initially agreed to an acquisition agreement in October 2015.

Copyright © 2024 Becker's Healthcare. All Rights Reserved. Privacy Policy. Cookie Policy. Linking and Reprinting Policy.

 

Articles We Think You'll Like

 

Featured Whitepapers

Featured Webinars