Camp Hill, PA — Under an amended and restated agreement, Rite Aid Corp. has received regulatory clearance to sell 1,932 stores, three distribution centers and related inventory to Walgreens Boots Alliance, Inc. for $4.37 billion.
As part of the deal, Rite Aid will have the option to buy generic prescriptions sourced through an affiliate of Walgreens Boots at a cost equivalent to Walgreens for a 10-year period, the selling firm reports.
“Securing regulatory clearance provides us with a clear path forward to realize the benefits of this transaction,” says John Standley, Rite Aid CEO and chairman. “With a compelling and more profitable store footprint in key markets, enhanced purchasing capabilities and a stronger balance sheet and improved financial flexibility, we are well positioned to implement our plans to deliver improved results.”
The stores included in the amended agreement are primarily located in the northeast and southern regions of the U.S. The three distribution centers are located in Dayville, CT; Philadelphia; and Spartanburg, SC.