Ahf, the health food store chain, has bought $15.5 million in shares of its stock on Tuesday, according to a filing with the Securities and Exchange Commission.
The deal will allow the company to diversify its business and boost its revenue, said Jim Tumulty, Ahf’s chief executive officer.
The company is still evaluating the stock, and the deal has not yet closed, he said.
Ahf shares are up nearly 25% this year.
A spokeswoman for Ahf declined to comment.
The stock price jumped as much as 10% after the deal was announced.
Ahm, founded in 2000, is owned by a family of Israeli pharmaceutical giants.
It has been one of the most successful brands in Israel, with more than 400 stores and hundreds of pharmacies.
Ahwazi, the third-largest pharmacy chain in the country, recently began selling branded medicines through the pharmacy chain.
Shares in Ahm have risen more than 12% this month.
Tumulty said that the purchase is part of the company’s strategy to build out its pharmacy business.
“The pharmacy business has always been a driver for growth,” he said in an interview.
“The pharmacy is where the real growth happens.”
The stock price of Ahm has risen by about 2% since the election.
On Monday, Ahm’s shares surged as much a 20% after President Donald Trump endorsed the stock in a tweet.
Trump also tweeted that he “loves” Ahm.
Ahm shares rose 1% on Tuesday.
In a separate announcement, Ahwaz said it is buying a large chunk of Pfizer Inc. in a $9.9 billion deal.
Ahhaz plans to buy up to 70% of the Pfizer share in 2019.
Pfizer shares have risen about 50% in the last two years as its rivals have tried to take advantage of the rise of other generic drugmakers.
The pharmacy chain is the fourth-largest drugmaker in the United States and the fourth largest in Europe, according in a recent report by consulting firm Towers Watson.