Walgreens Boots Alliance and Rite Aid Receive Second Request from FTC under HSR Act
Walgreens Boots Alliance and Rite Aid Corporation have announced that the two companies have each received a request for additional information from the Federal Trade Commission in connection with Walgreens' proposed acquisition of Rite Aid.
DEERFIELD, Ill., and CAMP HILL, Pa., 11 December 2015 - Walgreens Boots Alliance, Inc. (Nasdaq: WBA) and Rite Aid Corporation (NYSE: RAD) today announced that, as expected, the two companies have each received a request for additional information ("second request") from the Federal Trade Commission ("FTC") in connection with Walgreens Boots Alliance's proposed acquisition of Rite Aid. The second request was issued under notification requirements of the Hart-Scott-Rodino Antitrust Improvement Act of 1976, as amended (the "HSR Act"). This second request is a standard part of the regulatory process in connection with the FTC's review.
The transaction, which was announced 27 October 2015, is subject to approval of Rite Aid's stockholders and satisfaction of other customary closing conditions, including expiration or termination of the waiting period under the HSR Act. The effect of the second request is to extend the waiting period imposed by the HSR Act until 30 days after Walgreens Boots Alliance and Rite Aid have substantially complied with the request, unless that period is extended voluntarily by the parties or terminated sooner by the FTC. Walgreens Boots Alliance and Rite Aid have been cooperating with the FTC staff since shortly after the announcement of the proposed acquisition. Both companies expect the transaction to close in the second half of calendar 2016.