Shopko, after filing for Chapter 11 bankruptcy protection this week, plans to auction off 146 pharmacies to shore up finances, according to Forbes.
Four things to know:
1. The Green Bay, Wis.-based retailer plans to leave the prescription business. Even before the decision to file for a restructuring under Chapter 11, Shopko had been selling pharmacies and transferring prescription files to CVS Health and Walgreens.
2. The 146 pharmacies up for auction are a mix of pharmacies inside stores and freestanding, express pharmacies. A sale of transfer of the prescription files will be included.
3. Shopko's decision to auction pharmacies means the U.S. pharmacy industry will further consolidate.
4. CVS and Walgreens already have benefited from struggling retailers leaving the pharmacy business. Last year, CVS and Walgreens bought pharmacy files from Fred's, a cash-strapped discount retailer plotting a financial turnaround.
Read the full report here.