Pink Sheet is part of Pharma Intelligence UK Limited

This site is operated by Pharma Intelligence UK Limited, a company registered in England and Wales with company number 13787459 whose registered office is 5 Howick Place, London SW1P 1WG. The Pharma Intelligence group is owned by Caerus Topco S.à r.l. and all copyright resides with the group.

This copy is for your personal, non-commercial use. For high-quality copies or electronic reprints for distribution to colleagues or customers, please call +44 (0) 20 3377 3183

Printed By



Executive Summary

Kroger's sale of 48 SupeRx stores to the former president of the chain, Gerald Wolken, effectively completes Kroger's divestiture of its retail drug stores. In a Jan. 27 press release announcing the transaction, Kroger said it "has reached an agreement to sell 48 SupeRx Drug Stores, located in Georgia, Alabama and Arizona, to Gerald Wolken, former president of SupeRx." The purchase price was not disclosed. Kroger said that Wolken plans "to operate the stores under the SupeRx name to offer employment to substantially all current store and district level employees." The new chain will be based in Phoenix, Arizona. The acquisition of the remaining stores by Wolken represents the final leg of Kroger's six-month effort to get out of the stand-alone drugstore business. Kroger first announced in July that it was entertaining bids for the SupeRx and Hook chains ("The Pink Sheet" July 28, p. 13). At that time, Kroger also said it was considering a spinoff of the drug chain business either to shareholders or in a public offering. The sale of Kroger's over 830 stand-alone drugstores was accomplished in four separate deals. In early December, a group led by Kroger board member and former Seagram President Philip Beekman acquired 662 Hook and SupeRx stores in a leveraged buyout for an undisclosed sum. That firm will be called Hook-SupeRx. In mid-December, Medicare-Glaser announced the purchase of 5 Gasen-SupeRx stores in the St. Louis area for under $1 mil. And Rite-Aid, just before Christmas, announced a definitive agreement to acquire 115 SupeRx stores along with 103 Gray Drug Fair stores from Sherwin-Williams for a total of approximately $110 mil. Rite-Aid said that it would be taking possession of the 106 Florida SupeRx stores, eight Georgia stores and one in Alabama on Feb. 1. Rite-Aid's deal with Sherwin-Williams included 81 Gray drugstores in Florida and 22 Drug Fair stores in Maryland. Kroger continues to operate over 300 pharmacy departments in its supermarket division. Sherwin-Williams, however, is now out of the drugstore business entirely. In addition to the sale of 103 stores to Rite-Aid, Sherwin-Williams sold the remaining 358 Gray Drug Fair stores to an investment group headed by Gray Drug Fair President Carl Bellini.

You may also be interested in...

Part D Discount Liability Coming Into Focus: CMS Releases Drug Cost Data

Newly released Medicare Part D data sheds light on the sales hit that branded pharmaceutical manufacturers will face when the coverage gap discount program gets under way in 2011

FDA Skin Infections Guidance Spurs Debate On Endpoint Relevance

FDA appears headed for a showdown with clinicians and the pharmaceutical industry over the proposed new clinical trial endpoints for acute bacterial skin and skin structure infections, the guidance's approach for justifying a non-inferiority margin and proposed changes in the types of patients that should be enrolled in trials

Shire Hopes To Sow Future Deals With $50M Venture Fund

Specialty drug maker Shire has quietly begun scouting deals with a brand-new $50 million venture fund, the latest of several in-house investment arms to launch with their parent company's pipelines, not profits, as the measure of their worth

Latest Headlines
See All



Ask The Analyst

Ask the Analyst is free for subscribers.  Submit your question and one of our analysts will be in touch.

Your question has been successfully sent to the email address below and we will get back as soon as possible. my@email.address.

All fields are required.

Please make sure all fields are completed.

Please make sure you have filled out all fields

Please make sure you have filled out all fields

Please enter a valid e-mail address

Please enter a valid Phone Number

Ask your question to our analysts