GNC, Inc. (GNC) is a global health and wellness company with over 2,000 stores across the United States. The company owns and operates Rite Aid, a drugstore chain with over 2,500 stores across the United States. The company announced in February 2019 that it would sell its Rite Aid stores to Walgreens Boots Alliance, Inc.
(WBA) in a $5.3 billion deal.
The deal is expected to close in the second half of 2019, pending regulatory approvals. With the sale, GNC will focus on its wellness and health-focused businesses.
GNC will continue to operate Rite Aid’s pharmacies, and the company expects that the combined company will have over 4,500 stores.
The decision to sell the Rite Aid stores comes as GNC faces challenges. The company’s revenue and profit both declined in 2018, and the company announced in January 2019 that it would reduce its workforce by approximately 4,000 positions.
GNC’s decision to sell the Rite Aid stores reflects the company’s efforts to focus on its core businesses.
