Boots is nearing a $9bn deal with Canada's billionaire Weston family, potentially ending four years of ownership uncertainty since parent Walgreens Boots Alliance failed to sell the British pharmacy chain in 2022. The transaction could be announced as soon as next week, marking the Westons' return to UK retail after selling Selfridges for £4bn in 2022. The British branch of the Westons controls Primark and owns Fortnum & Mason.
Boots was built by Stefano Pessina and his wife Ornella Barra through more than a thousand deals into Europe's most powerful drug retailer. After a $24bn leveraged buyout of WBA last year with Sycamore Partners, the business was split into five standalone companies, with the Pessina family retaining 44% in each. The FT reported this summer that Boots explored a sale to either the Westons or Australia's Sigma Healthcare after abandoning London IPO plans.
Boots has undergone a turnaround, with new beauty brands and weight-loss jabs driving up UK retail and pharmacy sales. Pessina stepped down as executive chair after the Sycamore deal and now works "just 12" hours daily. A Weston purchase would remove Boots from Pessina's control for the first time in two decades, dealing a blow to City bankers who hoped for a future listing.
Source: Financial Times Companies · Summarized by HeadlinesBriefing