Walgreens buys 2,186 Rite Aids for $5.2 billion
Walgreens Boots Alliance and the Rite Aid Corporation announced in late June that Walgreens would be purchasing 2,186 stores and three distribution centers from Rite Aid for $5.175 billion.
According to a June 29 news release from Rite Aid, the 2,186 stores included in the agreement are primarily located in the Northeast, Mid-Atlantic and Southeastern regions of the United States. The three distribution centers included in the agreement are located in Dayville, Conn., Philadelphia and Spartanburg, S.C. Rite Aid will retain control of nearly 2,400 remaining stores.
At this point, it’s unclear how local Rite Aids will be affected.
In a July 6 email, Emily Hartwig-Mekstan, Walgreens media relations manager, said Walgreens is not releasing specific locations involved in the transaction with Rite Aid at this time. “We and Rite Aid have only stated that the locations primarily will be in the Northeast, Mid-Atlantic and Southeast regions," Hartwig-Mekstan said.
This is the second time in a little over a decade that Walgreens has bought out a player in the local market.
In 2006, for an undisclosed amount, the global pharmaceutical company purchased all 76 stores of the Delaware-based Happy Harry's pharmacy chain, which was founded in 1962 by Harry Levin. The stores were located in Delaware, Pennsylvania, Maryland and New Jersey, with the corporate office and distribution center being in Newark.
The Walgreens located on the corner of Savannah and Westcoats roads in Lewes and the one located on the corner of Route 1 and Munchy Branch Road in Rehoboth used to be Happy Harry’s.
Chris Flood has been working for the Cape Gazette since early 2014. He currently covers Rehoboth Beach and Henlopen Acres, but has also covered Dewey Beach and the state government. He covers environmental stories, business stories and random stories on subjects he finds interesting, and he also writes a column called Choppin’ Wood that runs every other week. He’s a graduate of the University of Maine and the Landing School of Boat Building & Design.
