Walgreens Privatization Deal Finalized for $23.7 Billion

Walgreens to Go Private in Major Acquisition

Walgreens Boots Alliance, Inc. (WBA) has confirmed plans to go private. The Walgreens privatization deal involves New York-based Sycamore Partners, a private equity firm. The $23.7 billion acquisition is expected to close by the fourth quarter of 2025.

Details of the Acquisition

Walgreens will continue to operate under its existing name and maintain its headquarters in Deerfield, Illinois. Shareholders will receive $11.45 per share in cash, with an additional $3.00 possible from future VillageMD debt and equity monetization.

The acquisition follows a challenging period for Walgreens, which included over 1,200 store closures and fluctuating stock performance. Company leaders believe this move will strengthen Walgreens’ leadership in pharmacy, retail, and healthcare services.

Leadership Statements

WBA CEO Tim Wentworth emphasized the company’s role in healthcare innovation. He stated, “While we are making progress with our ambitious turnaround strategy, greater value creation requires focus and change better managed as a private company.”

Wentworth also noted that Sycamore’s expertise in retail turnarounds would support Walgreens’ growth.

Stefan Kaluzny, managing director at Sycamore Partners, expressed confidence in the deal. He acknowledged Walgreens’ 125-year legacy and Boots’ 175-year history, affirming their commitment to sustaining these trusted brands.

Walgreens’ Future Outlook

With nearly 9,000 retail locations across the United States, Puerto Rico, and the U.S. Virgin Islands, Walgreens remains a key player in retail healthcare. The company ranks No. 6 on Progressive Grocer’s 2024 list of top food and consumables retailers in North America.

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