Rite Aid buys A&P's pharmacy assets for $8.1M

A judge has approved the sale of A&P's pharmacy assets to Rite Aid for $8.1 million. The approval, taking place in White Plains, New York, means the closing of 12 in-store pharmacies will begin immediately and last through the beginning of September.

Rite Aid is buying the inventory and customer information from almost half of the 25 A&P supermarkets that are closing, The Wall Street Journal reported. Rite Aid will now notify customers in writing that their prescription information is being moved.

A&P received bids from seven sources to buy the pharmacy assets at 22 stores, but the Rite Aid deal was the only one worth more than $5 million, which was required for the judge's approval.

Rite Aid will also pay up to $2.3 million for the inventory at the A&P stores.

A&P filed for bankruptcy in July, its second filing of the decade. It plans to sell 120 locations and close 25, while trying to sell the other 150 locations. Rumors of another bankruptcy filing and the selling off of stores began last month. The company has been trying to improve its finances in preparation for a sale since being taken private.

For more:
-See this The Wall Street Journal article

Related stories:
A&P files for bankruptcy, again
A&P considering a sale
A&P's Waldbaums drops loyalty card
A&P may put itself on sale, but who's buying?
German supermarker Lidl opens US headquarters