AG Bonta announced a settlement with Walgreens Co. (Walgreens) and its succeeding owner, Sycamore Partners Management, L.P. (Sycamore), that would operate as an injunction and protect competition, patients, and pharmacy-related workers. Earlier this year, on March 6, 2025, Walgreens announced that it agreed to be acquired by private equity firm, Sycamore. The proposed transaction, which involves over 450 California Walgreens stores, has the potential to increase pharmacy deserts in California — with disproportionate impacts on workers and patients of Walgreens. Walgreens patients include low-income individuals, elderly individuals, individuals who live in rural areas, and people of color. The settlement was reached under Assembly Bill 853 (AB 853), which requires notice and review by the Attorney General of transactions involving retail pharmacies and grocery stores in order to assess impact on access and labor. AB 853 was authored by former Assemblymember Brian Maienschein (D-San Diego) and went into effect on October 8, 2023. The settlement is subject to court approval.

“The settlement we have reached with Walgreens and Sycamore is good news for Californians. At its core, it ensures that the California Walgreens stores remain open and continue providing vital services in our communities. Across the country, pharmacies are closing in alarming numbers. Thanks to AB 853, my office has the power to address the competition harms posed by transactions involving retail pharmacies and grocery stores, and we are not letting that authority go unused.” – AG Bonta