Fred’s Completes Sale Of Specialty Pharmacy Unit To CVS

Fred’s has completed the previously announced sale of certain assets of EntrustRx, its specialty pharmacy unit, to a subsidiary of CVS Health Corporation.

The aggregate consideration paid was $40 million, plus an amount equal to the value of inventory of EntrustRx.

Joe Anto, Fred’s interim CEO, said, “We are pleased to conclude the sale of EntrustRx, an important step in our plans to monetize non-core assets as part of our broader turnaround efforts. The cash proceeds will allow us to pay down a significant portion of our debt and also be used for general corporate purposes.”