Walgreens will acquire certain assets of Kerr Drug’s retail drugstores and specialty pharmacy business. Financial terms of the agreement were not disclosed. In fiscal year 2012, Kerr Drug’s retail drugstores and specialty pharmacy business recorded total sales of $381 million.

The acquisition is structured as an asset transaction and includes Kerr Drug’s 76 retail drugstores and its specialty pharmacy business. The acquisition also includes a distribution center. Kerr Drug will retain ownership of its long-term care pharmacy business.

The acquisition advances Walgreens strategy to deliver the ‘Well Experience’ for customers by expanding Walgreens presence in North Carolina, a fast-growing market, including into many smaller communities. Kerr Drug’s standard of innovation and excellence in pharmacy service also aligns well with Walgreens strategy to transform the role community pharmacy plays in health care.

“The Kerr Drug retail drugstores and specialty pharmacy business are an exceptional addition to the Walgreens family of companies,” said Greg Wasson, president/CEO, Walgreens.

Wasson continued, “We are closely aligned on the important task of expanding the health care role that community pharmacists can have with their patients, and we share the common goal of stepping out of the traditional drugstore format to create a new experience for our customers.”

Until the acquisition closes, Kerr Drug and Walgreens will continue to operate separately. After closing, the acquired Kerr Drug retail drugstores will continue to operate under their current brand in the near term. Decisions will be made over time regarding the best, most effective way to integrate Kerr Drug’s retail drugstores and specialty pharmacy business with Walgreens operations.