New York, October 28, 2015 -- Moody's Investors Service today placed the ratings of Walgreens Boots Alliance, Inc. ("WBA") and its wholly owned subsidiary Walgreen Co. on review for downgrade. The review for downgrade is prompted by WBA's and Rite Aid's announcement that WBA would be acquiring Rite Aid for $9 per share plus its existing debt in a transaction valued at about $17.2 billion. Moody's estimates that this represents over a 13x EBITDA multiple and about a 48% premium over Rite Aid's closing share price on October 26, 2015. The transaction is expected to close during the second half of calendar 2016.
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