Rite Aid Gets OK For $575M Sale Of Pharma Benefits Program
By Rick Archer · January 9, 2024, 12:40 PM EST
A New Jersey bankruptcy judge on Tuesday gave drugstore chain Rite Aid the go-ahead to accept a $575 million bid for its Elixir prescription benefits program after hearing the company had...
Bankrupt drugstore chain Rite Aid filed for Chapter 11 Oct. 15 with plans to close more retail locations, sell its pharmacy benefits manager business and shed some of its $4 billion of total funded debt. A New Jersey bankruptcy judge in June agreed to approve its Chapter 11 plan to pay $2.6 billion in term and asset-based loans in cash, exchange $1.2 billion in senior notes for equity and set up a recovery fund for some 1,600 opioid claims that includes $43 million in cash and 10% equity in the reorganized company.
Case Number
3:23-bk-18993
Judge
Michael B. Kaplan
Venue
U.S. Bankruptcy Court for the District of New Jersey