Rite Aid's Elixir Buyer Must Pay Additional $50M In Ch. 11 Sale
By Clara Geoghegan · July 24, 2024, 7:00 PM EDT
Prescription benefits group MedImpact owes an extra $50 million on top of $576 million it paid Rite Aid for its former benefits division Elixir, a New Jersey bankruptcy judge ruled Wednesday,...
Bankrupt drugstore chain Rite Aid filed for Chapter 11 Oct. 15 with plans to close more retail locations, sell its pharmacy benefits manager business and shed some of its $4 billion of total funded debt. A New Jersey bankruptcy judge in June agreed to approve its Chapter 11 plan to pay $2.6 billion in term and asset-based loans in cash, exchange $1.2 billion in senior notes for equity and set up a recovery fund for some 1,600 opioid claims that includes $43 million in cash and 10% equity in the reorganized company.
Case Number
3:23-bk-18993
Judge
Michael B. Kaplan
Venue
U.S. Bankruptcy Court for the District of New Jersey