According to sources, the US Federal Trade Commission (FTC) is not yet satisfied with concessions offered by Walgreen's to complete its purchase of Rite Aid, as reported Seattle Times Friday.
-
According to the people, the FTC does not believe Walgreen's proposal to sell 865 stores is sufficient, concluding that the divestiture does not go far enough to protect competition.
-
A source noted that it is not clear whether agency officials have issued a formed recommendation.
-
A second person said that the FTC is unlikely to complete its review by the companies' January 27 deadline to complete the $9.4-billion transaction.
-
The merged entity would surpass CVS Health as the leading pharmacy chain based on the number of stores.
-
Shares in Rite Aid plunged as much as 11.6 percent on the news, while shares in Walgreen's were down 2.4 percent.










(All Rights Reserved)