Walgreens Contacts Potential Buyers for £7 Billion Boots Drugstore Chain

Walgreens Boots Alliance Inc. is reaching out to potential patrons of the £7 billion ($8.8 billion) Boots drugstore chain within the UK, in keeping with individuals accustomed to the matter.

The Deerfield, Illinois-based firm is working with advisers to carry early-stage discussions with would-be bidders, stated the individuals, who requested to not be recognized as a result of the matter is confidential. No formal sale course of has begun, they stated.

A Walgreens consultant declined to remark. The inventory jumped 7.2 % to $18.43 at 10:38 AM in New York after Bloomberg Information reported that the corporate was contacting attainable patrons.

The corporate final 12 months revived discussions on a potential exit from the UK chain, nearly 18 months after scrapping a deliberate sale, Bloomberg reported in December. Boots could possibly be valued at about £7 billion in an exit, with one chance being an preliminary public providing in London, Bloomberg reported on the time.

Walgreens shares have plunged 42 % up to now 12 months as the corporate struggled to revive progress. This 12 months Walgreens minimize its dividend by half and lowered its revenue outlook, citing decreased client spending on non-essential gadgets.

A sale would undo a blockbuster trans-Atlantic merger that came about in phases starting greater than a decade in the past.

By Vinicy Chan and Dinesh Nair

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Boots Owner in Talks to Offload £7 Billion UK Pharmacy Chain

Walgreens Boots Alliance Inc. is reviving discussions on a possible exit from its UK drugstore chain Boots, individuals with data of the matter stated, practically 18 months after a sale course of was scrapped.