Loblaw Companies executive chairman Galen G. Weston announces deal to buy Shoppers Drug Mart.

Grocery giant Loblaw buys Shoppers Drug Mart

Just a month after Safeway deal, more B.C. retail outlets to come under ownership of one parent firm

A $12.4-billion deal by grocery giant Loblaw to snap up Shoppers Drug Mart may further reduce retail competition in B.C.

Officials with the two firms denied that will happen, but the transaction does put another big chunk of B.C.’s retail landscape under the control of a single parent company.

In B.C., Loblaw operates or franchises dozens of stores under the Real Canadian Superstore, Extra Foods, T&T Supermarket and NoFrills brands, among others.

Its acquisition of Shoppers and its smaller urban stores extends Loblaw’s footprint into more densely populated B.C. markets.

Both firms say the deal will yield big benefits, including a bigger national retailing network for the more than 1,200 Shoppers outlets.

Shoppers Drug Mart will keep its brand name and operate as a division of Loblaw, but will expand its product lines, adding Loblaw PC brand private label and convenience food.

Shoppers’ Life brands are likewise expected to show up on the shelves of other Loblaw stores.

Officials promised they won’t close stores or eliminate loyalty points, adding the Shoppers Optimum and PC Plus loyalty programs will be cross-marketed across the group.

Shoppers shares were up more than 24 per cent Monday on the news, while Loblaw stock was also up 5.4 per cent. The market value of the two companies combined is up $3.1 billion from Friday’s close.

The deal still must be approved by shareholders.

It comes one month after a $5.8-billion deal by rival grocer Sobey’s to buy Canada Safeway stores.

Just Posted

Alberni teens wanted in double homicide, suspicious death spotted in Manitoba

Kam McLeod and Bryer Schmegelsky were thought to have been seen in the Gillam area

VIDEO: Missing Alberni teens now suspects in three northern B.C. killings

Kam McLeod and Bryer Schmegelsky are wanted in the deaths of Lucas Fowler, Chynna Deese, unknown man

Port Alberni looks to sell or lease out heritage train station

(By MIKE YOUDS and ELENA RARDON) City staff in Port Alberni will… Continue reading

Port Alberni’s Arrowview Hotel will be demolished

City council chooses lowest of three demolition bids

VIDEO: Man found dead near Alberni teens’ truck could be linked to a double homicide

RCMP said they are looking for Kam McLeod, 19, and Bryer Schmegelsky, 18

Provincial health body refuses to release full findings of cancer triage system audit

Information and Privacy Commissioner asked to review redactions

Southern resident killer whale died of blunt trauma, likely from ship

J34 was found more than two years ago near Sechelt, but the necropsy findings have now been released

Tourism Nanaimo invites celebrities to sample ‘real’ Nanaimo bars

Tourism organization creates video, invites actors Seth Rogen and Dan Levy to visit

B.C. rail crossing death highlights risks for people in wheelchairs: watchdog

Transportation Safety Board points to ‘persistent risks faced by persons using assistive devices’

Vancouver Island man wanted after walking away from halfway house in Victoria

Warrant issued for Jesse Goodale, convicted of aggravated assault

Memorial bench painted by Vancouver woman to stay in park for now

Park board to look at options for artistic enhancements on commemorative benches

VIDEO: Young couple found dead in northern B.C. had been shot, police say

Chynna Noelle Deese of the U.S. and Lucas Robertson Fowler of Australia were found along Highway 97

Wrestling legend finds his wedding dance groove in B.C.

Professional wrestler Chris Jericho posted on social media that he was in Penticton recently

Most Read