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In 1922, Walgreens expanded into new territory by acquiring the malted milkshake company started by their own employee, Ivar "Pop" Coulson.
Coulson had modified the basic malted milk recipe by adding scoops of vanilla ice cream, inventing what became known as the Walgreens milkshake.
The milkshakes, initially priced at $0.20 each, proved extremely popular at Walgreens' soda fountains and turned the stores into popular teen hangouts.
This innovative product allowed Walgreens to distinguish itself in the pharmacy and retail market in the early 1920s.
In 1946, Walgreens significantly expanded its international presence by acquiring Sanborns, one of Mexico’s largest pharmacy and department store chains owned by Frank Sanborn.
This acquisition allowed Walgreens to gain a foothold in the growing Mexican retail market in the post-World War II years.
However, Walgreens ultimately decided to focus on its core U.S. pharmacy business and sold its stake in Sanborns to Mexican conglomerate Grupo Carso in 1982. Though short-lived, the Sanborns acquisition represented an early attempt by Walgreens to think globally.
Looking to expand its pharmacy footprint in the 1980s, Walgreens acquired the MediMart chain from grocery store operator Stop & Shop in 1986.
The purchase of MediMart allowed Walgreens to grow its store count and assume control of a competing regional pharmacy chain.
While details of the transaction were not disclosed, the acquisition likely gave Walgreens strategic real estate locations and customer data.
The MediMart deal marked an opportunistic expansion by Walgreens during a transforming retail pharmacy landscape in the 1980s.
In July 2006, Walgreens moved to solidify its foothold along the East Coast by acquiring Delaware-based pharmacy chain Happy Harry's.
The acquisition provided Walgreens entry into Delaware, Pennsylvania, Maryland and New Jersey, strengthening its geographic position.
Though terms were not disclosed, the Happy Harry's deal likely provided Walgreens with valuable real estate and expanded its customer base in key northeastern markets.
With this acquisition, Walgreens continued its national expansion strategy and elimination of regional pharmacy rivals in the mid-2000s.
Looking to bolster its position in the New York metropolitan area, Walgreens acquired the prominent Duane Reade pharmacy chain for $1.075 billion in 2010.
The purchase gave Walgreens claim to what had been the largest drugstore competitor in New York City and one of its most recognizable retail brands.
While Walgreens opted to retain the Duane Reade name on many of its acquired stores, the merger did substantially boost Walgreens' share of the crucial New York pharmacy marketplace.
Coming out of the Great Recession, the 2010 Duane Reade acquisition increased Walgreens' footprint in its most profitable markets.
In June 2012, Walgreens executed a transatlantic deal to acquire a 45% equity stake in Switzerland-based Alliance Boots for $6.7 billion.
The minority investment in Europe's largest drug wholesaler and retail pharmacy chain gave Walgreens access to new international markets.
Though Walgreens did not hold a controlling interest, the Alliance Boots partial acquisition set the stage for a larger merger between the companies.
With this deal, Walgreens signaled a shift towards thinking as a global company not restricted to the American pharmacy sector.
Looking to consolidate regional pharmacy brands under its national umbrella, Walgreens acquired a collection of drugstore chains in 2012 including USA Drug, Super D Drug, May's Drug, Med-X and Drug Warehouse.
The purchase brought over 144 stores across the Midwest and South under Walgreens management.
Though financial terms were not disclosed, the deal enabled Walgreens to gain footholds in new markets by acquiring trusted local pharmacy names.
The 2012 pharmacy chain acquisitions supported Walgreens’ goal of establishing itself as an undisputed national drugstore leader.
Walgreens continued consolidating regional rivals when it acquired North Carolina-based chain Kerr Drug in September 2013.
Kerr Drug operated 76 retail drugstores, mostly across North Carolina, representing an attractive acquisition target for Walgreens.
The buyout further increased Walgreens’ footprint in the southeastern United States and eliminated a longtime competitor.
Kerr Drug’s customers, store locations and established logistics networks all helped Walgreens’ expansion plans in 2013.
After acquiring 45% of Alliance Boots in 2012, Walgreens moved to fully merge with the European drugstore conglomerate by purchasing the remaining 55% stake in 2014.
The $5 billion deal combined America’s largest pharmacy chain with Britain’s top drug wholesaler and retailer into one company rechristened as Walgreens Boots Alliance.
Establishing dual headquarters in Deerfield, Illinois and Bern, Switzerland, the newly merged firm had market dominance across two continents.
The Alliance Boots full acquisition transformed Walgreens from a largely domestic drugstore brand into a global healthcare giant.
In 2014, Walgreens sought to vertically integrate by acquiring Mexican specialty generic drug manufacturer Almus Pharmaceuticals from its parent company Acino.
The addition of Almus allowed Walgreens to control more of its pharmaceutical supply chain and product offerings.
Though the terms were not disclosed publicly, the Almus deal likely gave Walgreens preferred pricing and priority access to manufactured generics.
The strategic Almus acquisition enabled Walgreens to pursue greater autonomy and profits within its core drug retail business.
After multiple attempts, Walgreens finally received regulatory approval in 2017 to acquire 1,932 Rite Aid locations for $4.38 billion.
The significantly reduced Rite Aid deal followed larger merger proposals being rejected on antitrust grounds.
Though not the full takeover initially sought, the asset purchase made Walgreens the largest U.S. pharmacy operator with over 10,000 locations.
Walgreens' truncated buyout of stores from struggling rival Rite Aid in 2017 marked a key consolidation within the pharmacy retail sector.
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