{"id":1345,"date":"2015-10-28T09:19:05","date_gmt":"2015-10-28T16:19:05","guid":{"rendered":"http:\/\/re-tales.net\/?p=1345"},"modified":"2015-10-28T09:19:05","modified_gmt":"2015-10-28T16:19:05","slug":"walgreens-is-buying-rite-aid","status":"publish","type":"post","link":"http:\/\/re-tales.net\/?p=1345","title":{"rendered":"Walgreens Is Buying Rite-Aid"},"content":{"rendered":"
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\u00a0 \u00a0 There’s been rumors of something like this for years (including some of CVS buying Rite-Aid) but Walgreens has pulled the trigger and if the regulatory people approve it (which isn’t a given) it will make it only 2 behemoths left in the drug store industry.<\/div>\n
\u00a0 \u00a0 \u00a0Rite-Aid has made a tremendous turnaround the last 10 years, but looks like the stockholders wanted to cash out and much like Longs, they are going to be swallowed up by a larger chain. \u00a0They say initially they’ll stay\u00a0branded as Rite-Aid stores, but you know eventually they’ll be full-fledged Walgreens. \u00a0 Walgreens has never made an acquisition this large (well, nobody has…) so it will take some time for them to convert that many stores, assuming it’s been approved.<\/div>\n
\u00a0 \u00a0 \u00a0In my opinion, any time there’s less competitors out there it’s bad for customers and the employees as well. \u00a0I can envision down the road where Walmart then buys Walgreens and brands their pharmacies as Walgreens and converts the stores to their smaller footprint<\/a> (Walmart Express) and Target does the same with CVS and it’s the end of the “drug store” as we know it. \u00a0 Target is already testing out their smaller format in the LA market<\/a>, and if that’s successful I see them buying some of CVS’s larger buildings and doing the same there.<\/div>\n
\u00a0 \u00a0 When I was a kid we went to what was called “the dime store” which was essentially a convenience discount store. \u00a0Kids nowadays would have no clue what you mean by that term any more. Perhaps in the not too distant future the kids will not know what you’re talking about when you said “The drug store.”<\/div>\n

In a pharmacy mega-merger, Walgreens is buying Rite Aid.<\/h4>\n

The $17.2 billion deal puts together the nation’s second and third largest pharmacy chains that combined will have nearly 13,000 U.S. stores. That would catapult the merged company above CVS, which has 7,800 stores.<\/em><\/p>\n

The deal, which will have to pass antitrust review, is another sign of increased consolidation in health care as the industry changes due to the Affordable Care Act and an aging population.<\/em><\/p>\n

Rite Aid (RAD<\/a><\/span>) stores would keep their names “initially,” but Walgreens plans to create “a fully harmonized portfolio of stores” over time, the company said in announcing the deal Tuesday.<\/em><\/p>\n

Walgreens (WBA<\/a><\/span>) took over New York-based drugstore chain Duane Reade <\/a>in 2010. It acquired Boots Alliance, a European pharmacy chain, last year. Walgreens has locations in 11 countries.<\/em><\/p>\n

One industry analyst said regulators aren’t likely to give the deal a green light, considering Rite Aid is the third-largest player in a marketplace already dominated by CVS (CVS<\/a><\/span>) and Walgreens.<\/em><\/p>\n

CEO Stefano Pessina said in a statement that the deal would allow Walgreens to provide “more heath and wellness solutions…in stores and online.”<\/em><\/p>\n

Pharmacies have increasingly looked to expand their healthcare offerings, looking to create coordinated care systems with doctors and insurance companies.<\/em><\/p>\n

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\u00a0 \u00a0 There’s been rumors of something like this for years (including some of CVS buying Rite-Aid) but Walgreens has pulled the trigger and if the regulatory people approve it (which isn’t a given) it will make it only 2 behemoths left in the drug store industry. \u00a0 \u00a0 \u00a0Rite-Aid has made a tremendous turnaround Read More…<\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[8,11],"tags":[],"class_list":["post-1345","post","type-post","status-publish","format-standard","hentry","category-retail-companies","category-retail-trends"],"post_mailing_queue_ids":[],"_links":{"self":[{"href":"http:\/\/re-tales.net\/index.php?rest_route=\/wp\/v2\/posts\/1345","targetHints":{"allow":["GET"]}}],"collection":[{"href":"http:\/\/re-tales.net\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/re-tales.net\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"http:\/\/re-tales.net\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"http:\/\/re-tales.net\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=1345"}],"version-history":[{"count":1,"href":"http:\/\/re-tales.net\/index.php?rest_route=\/wp\/v2\/posts\/1345\/revisions"}],"predecessor-version":[{"id":1346,"href":"http:\/\/re-tales.net\/index.php?rest_route=\/wp\/v2\/posts\/1345\/revisions\/1346"}],"wp:attachment":[{"href":"http:\/\/re-tales.net\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=1345"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/re-tales.net\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=1345"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/re-tales.net\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=1345"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}