Rite Aid Beats Investor Suit Over Lost Prescription Client (3)

Rite Aid Corp. management defeated investor allegations it concealed its pharmacy benefit management division was losing its biggest health plan customer before the stock’s biggest selloff since the start of the pandemic.

None of the alleged misstatements nor the supposed omission of losing Virginia Premier—a former Medicaid servicer—were actionable to carry securities fraud claims, Judge Kelley B. Hodge said for the US District Court for the Eastern District of Pennsylvania. She granted Rite Aid current and former leaders’ motion to dismiss the lawsuit Monday, ordering the court to close the case.

The proposed class action alleged Rite Aid, which recently ...