Walgreens Finalizes USA Drug Acquisition, Plans to Shutter 76 Locations
According to a recent company press release, Walgreen Co. has completed its purchase of USA drug, a regional drugstore chain in the mid-South region of the United States from Stephen L. LaFrance Holdings, Inc. and members of the LaFrance family. The transaction includes 144 stores that operate under the USA Drug, Super D Drug, May’s Drug, Med-X and Drug Warehouse names located in Arkansas, Kansas, Mississippi, Missouri, New Jersey, Oklahoma and Tennessee. The acquisition also includes corporate offices, a distribution center located in Pine Bluff, Ark., and a wholesale and private brand business.
In addition, Walgreens announced plans to close 76 of the acquired USA Drug stores. A large portion of the stores are located in the Tulsa area, where 13 former Drug Warehouse, May’s Drug and Med-X Drug stores will close this fall. All effected stores are in close proximity to existing Walgreens locations. Customer prescriptions will be transferred to nearby Walgreens stores.
According to data from Chain Store Guide’s 2012 Drug Industry Market Share Report, USA Drug holds top positions in large markets. In the Tulsa, OK Core-Based Statistical area, it operates 28 pharmacy locations and has a 16.4% share of the prescription drug market. Closing the 13 area Tulsa stores will undoubtedly increase Walgreens’ top market share position.
Tulsa, OK: Metro CBSA*
Breaking down the data a step forward, Chain Store Guide data shows USA Drug also owns prime market share positions in zip codes within the Tulsa area.
Tulsa, OK: Zip Code 74135*