Alibaba to Invest Extra $2b in Lazada in Aggressive Southeast Asian Expansion
Trump, Moon express 'cautious optimism' over North Korea summit
Trump fires Secretary of State Tillerson
New direct flights offered from Richmond to Nashville
Lyft, Allscripts partner for healthcare platform
Why is Albertsons Purchasing Rite Aid?
23 February 2018, 02:03 | Maryann Sutton
Albertsons is acquiring the remaining Rite Aid stores that weren't scooped up by Walgreens, which had plans to buy the whole company back in 2015 before the full deal was blocked by regulators.
The new company will operate approximately 4,900 locations, 4,350 pharmacies, and 320 clinics across 38 states and Washington D.C. Most Albertsons Companies pharmacies will be rebranded as Rite Aid, and the new company will continue to use Rite Aid stand-alone pharmacies.
John Standley, Rite Aid's CEO, will serve as chief executive of the new company while Bob Miller, Albertsons' current CEO, will be chairman. The companies say they will keep headquarters in both Boise and Camp Hill. Once the deal closes, shares of Albertsons will be trading on the New York Stock Exchange.
"The combined platform positions Rite Aid to capitalize on our pharmacy expertise and expand and enhance our pharmacy footprint", Standley said in a statement issued with the announcement.
This powerful combination enables us to become a truly differentiated leader in delivering value, choice, and flexibility to meet customers' evolving food, health, and wellness needs...
The move comes after 7 months positive chart setup for the $2.25B company.
In December, drugstore giant CVS Health announced a merger with health insurer Aetna in a $69 billion deal that could reshape the way health care is delivered in the United States.
Walgreens attempted to buy the chain past year, but the full merger was blocked because of antitrust concerns.
Upon closing of the merger, shareholders of Rite Aid will own a 28.0 percent to 29.6 percent stake in the combined company, and current Albertsons Companies shareholders will own a 70.4 percent to 72 percent stake in the combined company. Those transfers include 96 stores in Maryland, which, like the other transferred stores, will take on the Walgreens banner over time, said Rite Aid spokeswoman Ashley Flower on Tuesday.
Late past year, drug store-and-pharmacy benefit manager CVS Health (CVS) announced it would acquire health insurance giant Aetna (AET). "The company has struggled for better than a decade to consistently grow, and its far-flung and complex components I believe are the major reason for this lack of progress".
US grocer Albertsons Cos Inc said it would buy drug store chain Rite Aid Corp (RAD.N) to create a company with $83 billion in annual revenue, giving it more clout to compete with bigger chains in an industry fearing the entry of Amazon.Com (AMZN.O), according to a Reuters story Tuesday. And, with retail stocks in general being hammered by the disruption of online shopping, it is a buyers' market.
Rite Aid (RAD) and Albertsons, the private-equity backed company that operates Safeway and several other grocery chains, said the deal would create a company with expected 2018 revenue of $83 billion and potential annual earnings of $3.7 billion before interest, taxes, depreciation and amortization. "It just won't be very pretty". The combined companies would be worth around $24 billion. The companies said the name of the combined company will be determined by transaction close.
Weather service issues flood watch for Tuesday and Wednesday
If you live in an area that is prone to flooding, you should be taking protective action now to keep you and your family safe. The potholes on numerous roads may also be filled with water, which also requires motorists to slow down in some areas.
Social media threat leads to arrest of juvenile in Columbus
On Tuesday, officers with the Floydada Police Department arrested a former high school student for making a shooting threat. He was immediately remanded into the custody of the Regional Youth Detention Center by the local Juvenile Court.
Jessie Diggins bringing home cross-country skiing gold
She is also one of the first women to compete in five Olympics, along with Kelly Clark, who is also in Pyeongchang. The Americans held the fastest time in the semifinals, allowing them to start on the front row for the finale.
Facebook to release its own smart home speakers in July 2018
The company seems to have signed deals with Sony and Universal Music, which may add more features into the smart speakers. Apple has launched " HomePod ", Amazon has "Echo" smart home speaker series, while Google offers "Home" and "Home Mini".
Prince Harry, Meghan Markle Visit Scotland
Harry and Ms Markle spoke with the organisation's volunteers, customers and also staff who have been affected by homelessness . Finally, they attended a reception at Palace of Holyroodhouse , where they celebrated Scotland's Year of Young People 2018.
American star Mikaela Shiffrin wins Olympic giant slalom gold
All eyes were on Shiffrin, especially after a January swoon cast just a bit of uncertainty on what she might be able to do here. Kenworthy, who came out as gay about two years after his silver medal win at the Sochi Games, has been openly critical of U.S.
Porsche 911 GT3 RS - road-legal racer reloaded
The UK mag adds that the new GT3 RS has the same spring rates front and rear as the turbocharged GT2 RS, launched in July 2017 . Porsche Motorsport began development of the new 911 GT3 RS not long after it started working on the GT2 RS , and it shows.