Shopping Centers Today is the news magazine of the International Council of Shopping Centers (ICSC)
Issue link: https://sct.epubxp.com/i/853369
22 S C T / A U G U S T 2 0 1 7 Walgreens' store in Chicago S T O R E F R O N T S Buying stores, not the store W algreens Boots Alliance has canceled plans to acquire Rite Aid Corp., choosing instead to purchase nearly half of Rite Aid's stores — amounting to 2,186 units — plus three distribution centers, for almost $5.2 billion. Walgreens says it has also scrapped a deal to sell 865 Rite Aid stores to Fred's Inc. Walgreens first announced plans to acquire Rite Aid in October 2015 and subsequently agreed to sell some of the stores to Fred's in an attempt to ease regulatory concerns about a merger between the drugstore chains. But issues over competition persisted nevertheless. Walgreens has some 8,000 stores across the U.S., while Rite Aid operates nearly 4,600. Both retailers have a major presence in California, Massachusetts and New York. Under the cancellation agreement, Walgreens will pay Rite Aid a $325 million termination fee. The stores Walgreens acquires will come under the Walgreens banner "over time," according to a company statement. In that statement, Stefano Pessina, executive vice chairman and CEO of Walgreens Boots Alliance, said: "We believe this new transaction addresses competitive concerns previously raised with respect to the prior transaction and will streamline and simplify the transition for customers, team members and other stakeholders." n A new leaf Online consumer-electronics chain Monoprice opened a brick-and-mortar store at its corporate headquarters in Southern California. "It's our philosophy to constantly challenge the industry status quo through innovation. Building a retail location is another testament to our dedication to enhancing the Monoprice shopping experience," said CEO Bernard Luthi. "We listened to our customers when they expressed their desire for a store, and we're pleased to continue our pledge of offering fairly priced products in a brick-and-mortar setting." The 1,900-square-foot store allows customers to test the retailer's products, which include audio, home-theater and security-tech products. n MONOPRICE GOES MULTI-CHANNEL PepsiCo is promoting its Pure Leaf tea brand with a pop-up shop in New York City's tourist-friendly SoHo neighborhood. The Pure Leaf Tea House, as the store is called, will offer a collection of artisanal Pure Leaf teas, specialty drinks and experiences of the tea-making process. Guests will see drinks and pairings prepared by tea mixologists. "The Pure Leaf Tea House will bring to life and showcase the passion and expertise we infuse into each and every Pure Leaf product," said Laraine Miller, the company's senior global marketing director. "Consumers really value the real-brewed difference Pure Leaf brings to the market, and we hope the Tea House provides an enhanced tea experience you can't get anywhere else." n