Boots owner agrees £4.8bn sale of Alliance Healthcare

AmerisourceBergen Corporation has announced the acquisition of Walgreens Boots Alliance’s healthcare businesses for approximately $6.5bn (£4.77bn), comprising $6.275bn (£4.6bn) in cash and 2 million shares of AmerisourceBergen common stockThe acquisition of Alliance Healthcare will reportedly provide even stronger support for pharmacies and pharmacists across the globe and integrated solutions for pharmaceutical manufacturers.

The parent company of high-street retailer Boots said it will be able to increase its focus on expanding its core retail pharmacy businesses, bringing “greater healthcare offerings” to patients and customers and “further accelerate” its progress on its clear set of strategic priorities.

In addition to this transaction, the two companies have agreed to “strengthen” their strategic partnership by extending and expanding their commercial agreements.

Stefano Pessina, executive vice chairman and CEO for Walgreens Boots Alliance, said: “This strategic agreement with AmerisourceBergen, which we consider to be the world’s leading pharmaceutical wholesaler, is a very positive development for the two companies. This deal will enable significant value creation for both companies and will generate new synergies in addition to those already captured.

“It is a logical step following the success of our long-term strategic relationship with AmerisourceBergen which has been a strong and trusted partner since 2013,” said “The transaction will fuel higher future investments to grow and transform our core retail pharmacy and healthcare businesses, and is EPS accretive long-term for Walgreens Boots Alliance.”

Furthermore, Alliance Healthcare UK said it will remain the distribution partner of Boots until 2031 with hopes that these agreements will create “incremental growth”, synergies and efficiencies.

Steven Collis, chairman, president and CEO of AmerisourceBergen, said: “AmerisourceBergen’s vital role in the health system as a key pillar of pharmaceutical innovation and access has been on full display over the past year.

“AmerisourceBergen’s financial and strategic position enable this next evolution of enhancing our ability to provide healthcare capabilities across regions and deliver innovative solutions for our upstream and downstream partners.”

He added: “I look forward to extending and expanding our successful partnership with Walgreens Boots Alliance and welcoming the industry-leading team at Alliance Healthcare to AmerisourceBergen. Together, we will fulfil AmerisourceBergen’s purpose of being united in our responsibility to create healthier futures.”