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

Artist Michael Hepher selected to paint mural downtown Fernie

The mural will be located on The Beanpod, 691 2 Ave, Fernie, on the outside wall.

UPDATED: Crews remain on scene of Jaffray hay barn fires

Emergency personnel remain on scene throughout Wednesday to put out hot spots

Vehicle stolen from downtown Fernie found torched at transfer station

RCMP are seeking witnesses to the theft of a yellow 2002 Subaru… Continue reading

Rossland council urges minister to kill Jumbo Glacier Resort project

Mayor writes letter panning ski resort on environmental, legal, and economic grounds

Stranded hikers rescued from Mt. Hosmer

On Monday, Fernie Search and Rescue (SAR) responded to two hikers stranded… Continue reading

VIDEO: Title of 25th Bond movie is ‘No Time to Die’

The film is set to be released in April 2020

River rescue near Fernie prompts log jam warning

The City of Fernie announced at the beginning of August a dangerous… Continue reading

Black Pistol Fire ignites Wapiti festival crowd

Off stage, Kevin McKeown is a calm, collected individual. On stage, he… Continue reading

New study suggests autism overdiagnosed: Canadian expert

Laurent Mottron: ‘Autistic people we test now are less and less different than typical people’

B.C. father tells judge he did not kill his young daughters

Andrew Berry pleaded not guilty to the December 2017 deaths

Trans Mountain gives contractors 30 days to get workers, supplies ready for pipeline

Crown corporation believes the expansion project could be in service by mid-2022

Rosemount cooked diced chicken linked to listeria case in B.C.

The symptoms of listeria include vomiting, nausea, fever, muscle aches

B.C. seniors allowed more choice to stay in assisted living

Province doesn’t need to wait for a complaint to investigate care, Adrian Dix says

Retired B.C. fisherman wins record $60M Lotto Max jackpot

Joseph Katalinic won the biggest Lotto Max prize ever awarded

Most Read