Melville Corp. Plans to Buy Drugstore Chain
From Associated Press
NEW YORK —
Melville Corp. said it plans to buy Peoples Drug Stores Inc. for about $330 million in cash, creating one of the biggest drug retailers in the country.
The acquisition from Canada’s Imasco Ltd. would strengthen Melville’s already prominent position on the East Coast in drug retailing.
Melville’s CVS chain operates 811 stores in 14 states, primarily in the Northeast. The chain’s sales last year amounted to $1.95 billion.
Peoples, which operates 490 stores in the Mid-Atlantic states, is expected to keep its name and become a separate entity within CVS. Last year, Peoples’ sales totaled $1.02 billion.
