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Walgreens Boots Alliance to acquire Rite Aid in $17.2 billion deal

Staff writer ▼ | October 27, 2015
Walgreens Boots Alliance entered into a definitive agreement to buy all outstanding shares of Rite Aid for $9 per share in cash, for a total enterprise value of approximately $17.2 billion, including acquired net debt.
Rite Aid
Acquisition   $9 per Rite Aid share in cash
The purchase price represents a premium of 48 percent to the closing price per share on 26 October 2015, the day before the agreement was signed.

The combination of Walgreens Boots Alliance and Rite Aid creates a further opportunity to deliver a high-quality retail pharmacy choice for U.S. consumers in an evolving and increasingly personalized healthcare environment.

The boards of directors of both companies have approved the transaction, which is subject to approval by the holders of Rite Aid’s common stock, the expiration or termination of applicable waiting periods under the Hart-Scott-Rodino Antitrust Improvements Act of 1976, as amended, and other customary closing conditions. The transaction is expected to close in the second half of calendar 2016.

The transaction is expected to be accretive to Walgreens Boots Alliance’s adjusted earnings per share in its first full year after completion. Additionally, Walgreens Boots Alliance expects to realize synergies in excess of $1 billion.


 

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