Health Dialog Services provides health coaching, shared decision making, and healthcare analytics from Bupa. The company will continue to operate as a subsidiary of Rite Aid following the acquisition.
"We are extremely pleased to have Health Dialog become a part of the Rite Aid family and believe this strategic acquisition will be mutually beneficial to both companies," Rite Aid vhairman and CEO John Standley said in a press release. "This acquisition will provide Health Dialog with an expanded footprint to grow its existing business as well as further leverage the company's coaching services' expertise as we work to bring Rite Aid Health Alliance to more Rite Aid markets and customers."
Terms of the deal were not disclosed.
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TheStreet Ratings team rates RITE AID CORP as a Hold with a ratings score of C. TheStreet Ratings Team has this to say about their recommendation:
"We rate RITE AID CORP (RAD) a HOLD. The primary factors that have impacted our rating are mixed -- some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its revenue growth, compelling growth in net income and solid stock price performance. However, as a counter to these strengths, we also find weaknesses including poor profit margins and weak operating cash flow."