logo
  

Rite Aid Cites 'lack Of Credibility' To Reject Spear Point Capital's Acquisition Proposal

Rite Aid Corporation (RAD), a drug store chain, on Thursday confirmed that it previously rejected a non-binding, off-market proposal from Spear Point Capital Management to buy all of its shares.

Following an elaborated review, Board concluded saying "the proposal was not credible and did not warrant further exploration."

The store chain noted that Spear Point's proposal provided no evidence of financing, required multiple months of exclusivity and then called for Rite Aid to spend months soliciting competing offers.

In addition, the company said, Spear Point has no track record of acquiring public companies the size and complexity of Rite Aid.

Commenting on its future plans, Rite Aid said it will be responsive to all credible proposals that will enhance stockholder value.

For comments and feedback contact: editorial@rttnews.com

Business News

Editors Pick
Vaccine partners Pfizer Inc. and BioNTech SE are seeking emergency use authorization or EUA from the U.S. Food and Drug Administration to offer their bivalent COVID-19 vaccine to children 6 months through 4 years of age. If authorized, the vaccine would be part of a primary series for children in this age group. Kraft Heinz Foods Co. is recalling around 2,400 pounds of ready-to-eat or RTE ham and cheese loaf products citing possible cross-contamination with under-processed products, the U.S. Department of Agriculture's Food Safety and Inspection Service or FSIS announced. Foxconn, Apple Inc.'s key iPhone assembler, expects that its major plant in China, which is being hit hard by worker unrest following Covid-19 spread and related restrictions, would restart full production around late December to early January, Reuters reported citing a Foxconn source.
RELATED NEWS
Follow RTT