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Bigger clinic competitor

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Walgreens’s plan to buy Rite Aid for about $9.4 billion means that CVS will have a more powerful competitor to deal with. The would-be merger partners together have about 13,000 U.S. stores.

If antitrust regulators approve the deal, it means that hospital systems and physician groups will have both a stronger collaborator and a stronger competitor — the latter given the big push by drugstore chains to open many more clinics in their stores with some services competing with thoseĀ  of hospitals and physicians.

Further, the chain would have more bargaining power with the drug companies.









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