Longs Drug to Buy 24 Pharmacies

Walnut Creek, Calif., Longs Drug Stores Corp. entered into an asset purchase agreement with Network Pharmaceuticals, Inc. to purchase 22 retail pharmacies, one wholesale pharmacy and one closed door pharmacy in Southern California for about $10 million, plus inventory. The transaction is expected to be completed in the second quarter and is subject to customary closing conditions.

The retail pharmacies average approximately 1,100 square feet and are located within or near medical office buildings, clinics and hospital lobbies. Upon completion of the transaction, Longs Drugs plans to operate the pharmacies under the name Network Pharmacies.