Report: CVS, Private Fund to Submit Interest in Eckerd
NEW YORK - CVS Corp. and U.S. buyout firm Kohlberg Kravis Roberts are expected to submit indications of interest in J.C. Penney Co. Inc.'s Eckerd drugstore chain today, the online edition of Financial Times reported on Thursday.
Eckerd, the No. 4 U.S. drugstore retailer, has been losing market share to larger rivals.
Jean Coutu, a Canadian drugstore chain, was also expected to pair up with a financial sponsor to offer an initial indication of interest to buy Eckerd, which operates 2,700 stores and accounts for more than 40 percent of J.C. Penney's sales, the FT said.
Woonsocket, Rhode Island-based CVS, the second-largest U.S. drugstore retailer, had previously indicated its interest in Eckerd.
Earlier this year J.C. Penney said it was exploring options for its Eckerd chain, including a sale or spinoff. The company said on Oct. 15 it expected to make a decision regarding Eckerd's future by the end of the year.
Eckerd, the No. 4 U.S. drugstore retailer, has been losing market share to larger rivals.
Jean Coutu, a Canadian drugstore chain, was also expected to pair up with a financial sponsor to offer an initial indication of interest to buy Eckerd, which operates 2,700 stores and accounts for more than 40 percent of J.C. Penney's sales, the FT said.
Woonsocket, Rhode Island-based CVS, the second-largest U.S. drugstore retailer, had previously indicated its interest in Eckerd.
Earlier this year J.C. Penney said it was exploring options for its Eckerd chain, including a sale or spinoff. The company said on Oct. 15 it expected to make a decision regarding Eckerd's future by the end of the year.
