Walgreens-Rite Aid deal under federal scrutiny

Federal antitrust regulators have requested more information from Walgreens Boots Alliance and Rite Aid in connection with the pending $17.2 billion deal to combine the drugstore chains, both of which have significant presences in Baltimore. The Federal Trade Commission holds the cards on how big Walgreens can become. The agency generally takes a close look at any deal that reduces competition. This week, the FTC sued to block a planned merger between Staples and Office Depot because the agency said it would reduce national competition in the market for office supplies sold to large business customers. Walgreens and Rite Aid said Friday they have been cooperating with FTC staff since the merger was announced at the end of October. Walgreens is willing to divest up to 1,000 stores to clear antitrust hurdles but has said the deal won’t reduce competition.