Walgreens Agrees to Buy Rival Rite Aid for $9.42B

Walgreens Boots Alliance Inc. agreed to acquire Rite Aid Corp. for $9.42 billion in cash in a transaction to further expand the company’s role in the distribution of medications in the U.S.

The transaction would combine the second- and third-largest drugstore chains in the U.S., with a total of about 12,800 locations, helping Walgreens vault past market leader CVS Health Corp. The acquisition will add to Walgreens’ earnings beginning a full year after completion and will produce more than $1 billion in savings from cost overlaps, the companies said Oct. 26 in a statement. Including debt, the deal is valued ...