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US: Rite Aid Stock Drops on Merger Report

 |  June 12, 2017

Rite Aid’s planned merger with Walgreens Boots Alliance was having trouble winning US antitrust approval. Rite Aid’s share price dropped as much as 16.7 percent after the Capital Forum declared that the Federal Trade Commission’s staff was prepared to recommend that the agency file a lawsuit to stop the deal. Shares of Walgreens were little changed.

A final decision on a lawsuit would be made by FTC acting Chair Maureen Ohlhausen, a Republican, and Commissioner Terrell McSweeny, a Democrat. A source close to the deal verified the report to Reuters and said that agency staff has asked companies and groups concerned about the deal for depositions and affidavits that could be used in a lawsuit aimed at stopping it.

Full Content: Reuters

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