Boots owner reportedly considering £10bn sale of pharmacy chain
US retail giant Walgreens Boots Alliance (WBA) is lining up advisers from Goldman Sachs to explore a potential sale, according to reports.
Your support helps us to tell the story
From reproductive rights to climate change to Big Tech, The Independent is on the ground when the story is developing. Whether it's investigating the financials of Elon Musk's pro-Trump PAC or producing our latest documentary, 'The A Word', which shines a light on the American women fighting for reproductive rights, we know how important it is to parse out the facts from the messaging.
At such a critical moment in US history, we need reporters on the ground. Your donation allows us to keep sending journalists to speak to both sides of the story.
The Independent is trusted by Americans across the entire political spectrum. And unlike many other quality news outlets, we choose not to lock Americans out of our reporting and analysis with paywalls. We believe quality journalism should be available to everyone, paid for by those who can afford it.
Your support makes all the difference.The parent company of Boots is reportedly considering putting the pharmacy chain on the market next year.
US retail giant Walgreens Boots Alliance (WBA) is lining up advisers from Goldman Sachs to explore a potential sale of the pharmacy, according to Sky News.
The PA news agency understands that a potential valuation of the business would be £10 billion.
However, the process is thought to be solely exploratory and may not lead to the sale of the 172-year-old firm.
In a statement, WBA said that while it does not comment on speculation, it was “accurate” that the company had announced a “renewed set of priorities and strategic direction for its future”.
In a statement, the company said: “Walgreens Boots Alliance (WBA) does not comment on market speculation and Boots is an important part of the Group.
“However, it is accurate that WBA announced a renewed set of priorities and strategic direction for the Group in October, which includes a more pointed focus on North America and on healthcare.
“As underlined during the last WBA investor conference, the Group continues to be very pleased with the performance of Boots and the International division as a whole.
“In line with the Group’s long-term healthcare strategy, Boots UK continues to expand its healthcare offering.
“Furthermore, boots.com continues to grow above expectations having more than doubled sales when compared to pre-pandemic levels.”
In an update in October, Boots reported a sales rebound after lockdown restrictions eased.
In the final quarter of its financial year to August 31, the company saw like-for-like sales increase by 12.8% to 34.3 billion US dollars (£25 billion) for the period.
It is accurate that WBA announced a renewed set of priorities and strategic direction for the Group in October, which includes a more pointed focus on North America and on healthcare.
WBA highlighted that it benefited from a strong operational performance from Boots, with growth for both its retail and pharmacy arms.
Boots managing director Sebastian James said sales through its online business had doubled against pre-pandemic levels, with the firm maintaining this growth despite returning high street footfall.
Boots has more than 2,200 stores and employs 55,000 people.
Walgreens Boots Alliance was formed in 2014 after Walgreens bought the 55% stake in UK and Switzerland-based Alliance Boots that it did not already own.