Walgreens Boots Alliance and Kroger said Dec. 10 they are forming a new group purchasing organization called the Retail Procurement Alliance.
According to the companies' news release, the GPO is aimed at "delivering purchasing efficiencies, lower costs and combined resources to help drive further innovation."
"Through this unique joint venture, Walgreens and Kroger have the opportunity to use our collective resources to create efficiencies across our supply chains," said Alex Gourlay, Walgreens' co-chief operating officer.
The companies first partnered in October 2018, when they launched Kroger Express to allow customers to pick up groceries at 13 Walgreens stores in Northern Kentucky.
In August, the companies expanded the venture to 35 stores in Knoxville, Tenn., and began selling Walgreens products at 17 Kroger stores in the same area.
Read the full news release here.