Blog Exposure - Rite Aid Completed Transfer of All 1,932 Stores to Walgreens Boots Alliance

LONDON, UK / ACCESSWIRE / April 02, 2018 / Active-Investors.com has just released a free research report on Rite Aid Corp. (NYSE: RAD). If you want access to this report all you need to do is sign up now by clicking the following link www.active-investors.com/registration-sg/?symbol=RAD as the Company's latest news hit the wire. On March 28, 2018, the Company announced that it has completed the transfer of all 1,932 stores and related assets to Walgreens Boots Alliance, Inc. ("WBA") in exchange for cash proceeds of approximately $4.157 billion. The transfer of the three distribution centers and related inventory is expected to begin after September 01, 2018. Register today and get access to over 1,000 Free Research Reports by joining our site below:

www.active-investors.com/registration-sg

Active-Investors.com is focused on giving you timely information and the inside line on companies that matter to you. This morning, Rite Aid and Walgreens Boots Alliance most recent news is on our radar and our team decided to put out a fantastic report on the company that is now available for free below:

www.active-investors.com/registration-sg/?symbol=RAD

www.active-investors.com/registration-sg/?symbol=WBA

The stores included in the agreement are primarily located in the Northeast, Mid-Atlantic, and Southeastern regions of the United States. The three distribution centers are located in Dayville, Connecticut, Philadelphia and Spartanburg, South Carolina. As of March 02, 2018, Rite Aid has transferred 1,651 stores and related assets to WBA, and has received cash proceeds of $3.6 billion.

Transfers of Distribution Centers Remain Subject to Minimal Customary Closing Conditions

The majority of the closing conditions have been satisfied. The transfers of Rite Aid's distribution centers and related assets remain subject to minimal customary closing conditions applicable only to the distribution centers being transferred at such distribution center closing, as specified in the Asset Purchase Agreement.

Rite Aid Terminated the Tax Benefits Preservation Plan

Rite Aid also announced that its Board of Directors has terminated the tax benefits preservation plan (‘the Plan') that it adopted on January 03, 2018. As a result of the Plan, Rite Aid protected approximately $2.2 billion of its net operating losses. The Plan was originally scheduled to expire on January 03, 2019. The Company adopted the Plan to ensure that Rite Aid would be able to utilize Tax Benefits in connection with the sale of its stores.

Albertsons to Buy the Remnants

On February 20, 2018, Grocery chain Albertsons Companies announced plans to acquire Rite Aid in a cash and stock deal. A combined Albertsons and Rite Aid would have a value of roughly $24 billion, including debt. Upon the closing of the deal, Rite Aid would own up to 29.6% stake in the combined company and Albertsons' shareholders would own up to 72%.

Rite Aid's Agrees to Sell 2,186 Stores to WBA

In June 2017, Rite Aid entered into an asset purchase agreement with WBA, whereby WBA would acquire 2,186 stores, related distribution assets and inventory from Rite Aid for an all-cash purchase price of $5.175 billion, on a cash-free, debt-free basis. Under the terms of the agreement, Rite Aid had the option to purchase generic drugs that were sourced through an affiliate of WBA at cost, substantially equivalent to WBA for a period of 10 years.

In September 2017, Rite Aid amended and restated the agreement, pursuant to which WBA would purchase 1,932 stores, 3 distribution centers and related inventory from Rite Aid for an all-cash purchase price of $4.375 billion on a cash-free, debt-free basis.

About Walgreens Boots Alliance Inc.

Headquartered in Deerfield, Illinois, Walgreens Boots Alliance is the first global pharmacy-led health and wellbeing enterprise. The Company is the largest retail pharmacy, health, and daily living destination across the US and Europe.

About Rite Aid Corp.

Founded in 1968 and headquartered in Camp Hill, Pennsylvania, Rite Aid is one of United States' leading drugstore chains with more than 4,600 stores in 31 states and the District of Columbia, with a strong presence on both the East and West coasts.

Stock Performance Snapshot

March 29, 2018 - At Thursday's closing bell, Rite Aid's stock was slightly up 0.60%, ending the trading session at $1.68.

Volume traded for the day: 42.43 million shares, which was above the 3-month average volume of 27.54 million shares.

After last Thursday's close, Rite Aid's market cap was at $1.78 billion.

Price to Earnings (P/E) ratio was at 15.85.

The stock is part of the Services sector, categorized under the Drug Stores industry. This sector was up 1.5% at the end of the session.

Active-Investors:

Active-Investors (A-I) produces regular sponsored and non-sponsored reports, articles, stock market blogs, and popular investment newsletters covering equities listed on NYSE and NASDAQ and Canadian stocks. A-I has two distinct and independent departments. One department produces non-sponsored analyst certified content generally in the form of press releases, articles and reports covering equities listed on NYSE and NASDAQ and the other produces sponsored content (in most cases not reviewed by a registered analyst), which typically consists of compensated investment newsletters, articles and reports covering listed stocks and micro-caps. Such sponsored content is outside the scope of procedures detailed below.

A-I has not been compensated; directly or indirectly; for producing or publishing this document.

PRESS RELEASE PROCEDURES:

The non-sponsored content contained herein has been prepared by a writer (the "Author") and is fact checked and reviewed by a third-party research service company (the "Reviewer") represented by a credentialed financial analyst [for further information on analyst credentials, please email info@active-investors.com. Rohit Tuli, a CFA® charterholder (the "Sponsor"), provides necessary guidance in preparing the document templates. The Reviewer has reviewed and revised the content, as necessary, based on publicly available information which is believed to be reliable. Content is researched, written and reviewed on a reasonable-effort basis. The Reviewer has not performed any independent investigations or forensic audits to validate the information herein. The Reviewer has only independently reviewed the information provided by the Author according to the procedures outlined by A-I. A-I is not entitled to veto or interfere in the application of such procedures by the third-party research service company to the articles, documents or reports, as the case may be. Unless otherwise noted, any content outside of this document has no association with the Author or the Reviewer in any way.

NO WARRANTY

A-I, the Author, and the Reviewer are not responsible for any error which may be occasioned at the time of printing of this document or any error, mistake or shortcoming. No liability is accepted whatsoever for any direct, indirect or consequential loss arising from the use of this document. A-I, the Author, and the Reviewer expressly disclaim any fiduciary responsibility or liability for any consequences, financial or otherwise arising from any reliance placed on the information in this document. Additionally, A-I, the Author, and the Reviewer do not (1) guarantee the accuracy, timeliness, completeness or correct sequencing of the information, or (2) warrant any results from use of the information. The included information is subject to change without notice.

NOT AN OFFERING

This document is not intended as an offering, recommendation, or a solicitation of an offer to buy or sell the securities mentioned or discussed, and is to be used for informational purposes only. Please read all associated disclosures and disclaimers in full before investing. Neither A-I nor any party affiliated with us is a registered investment adviser or broker-dealer with any agency or in any jurisdiction whatsoever. To download our report(s), read our disclosures, or for more information, visithttp://active-investors.com/legal-disclaimer/.

CONTACT

For any questions, inquiries, or comments reach out to us directly. If you're a company we are covering and wish to no longer feature on our coverage list contact us via email and/or phone between 09:30 EDT to 16:00 EDT from Monday to Friday at:

Email: info@active-investors.com

Phone number: 73 29 92 6381

Office Address: 6, Jalan Kia Peng, Kuala Lumpur, 50450 Kuala Lumpur, Wilayah Persekutuan Kuala Lumpur, Malaysia

CFA® and Chartered Financial Analyst® are registered trademarks owned by CFA Institute.

SOURCE: Active-Investors