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Rite Aid pops 6% after delay in Walgreens merger

Vehicles sit parked outside of a Rite Aid Corp. store
Luke Sharrett | Bloomberg | Getty Images
Vehicles sit parked outside of a Rite Aid Corp. store

Rite Aid stock jumped 6 percent Thursday, following a mutual decision with Walgreens Boots Alliance to delay their merger agreement until January 27.

The merger agreement was previously scheduled to be completed on October 27.

The companies entered into a definitive agreement in October 2015, under which Walgreens would acquire all outstanding shares of Rite Aid for $9 a share. The original terms of the agreement allowed either party to delay the merger until January.

Walgreens Boots Alliance is the largest retail pharmacy chain in the U.S. and Europe. Walgreens' stock was trading more than 4 percent higher Thursday.

Shares of Walgreens Boots Alliance and Rite Aid have fallen more than 4 percent and 9 percent year-to-date, respectively, according to FactSet.