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Amazon furthers drug pact
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January 24, 2000: 8:05 a.m. ET
Invests $30M more in drugstore.com; products to be sold directly on site
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NEW YORK (CNNfn) - Amazon.com announced Monday it will allow customers to purchase drugstore.com products directly from Amazon's site, and will also invest an additional $30 million in the e-tailer, furthering its minority stake.
Terms of the three-year agreement call for Amazon.com to feature a drugstore.com icon on Amazon in exchange for $105 million.
In addition, Amazon will add $30 million to its minority investment in drugstore.com, which brings its total stake to 28 percent of the outstanding drugstore.com common stock, upon closing of the transaction.
Amazon said the deal marks the first time one of its partners will be integrated into its shopping navigational structure. Previously drugstore.com was linked from Amazon's site.
In December 1998, Amazon.com made a 46 percent investment in Bellevue, Wash.-based drugstore.com's outstanding shares. The site sells health, beauty, wellness, personal care, and pharmacy products and has alliances with companies such as Rite Aid Corp. and General Nutrition Companies, Inc.
Amazon.com (AMZN) shares closed Friday at 62-1/16, down 2-11/16. drugstore.com (DSCM) finished at 29-1/8, up 1-15/16. 
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