Key Summary
- Sigma Healthcare's pharmacy chain Chemist Warehouse Group has acquired a stake in 22 branches of Greenlight Healthcare Limited in the UK.
- Boots is in talks with the Canadian branch of the Weston family, which holds stakes in grocery chain Loblaws and pharmacy chain Shoppers Drug Mart.
- Boots had appointed Currys veteran Alex Baldock as chief executive in May to facilitate its IPO on the London Stock Exchange.
Health and beauty retailer Boots is in talks with the Australian pharmacy group Sigma Healthcare and the billionaire Weston family over a £7.5 billion sale that would see the retail chain scrap its plans for a London IPO, according to media reports.
Private equity firm Sycamore Partners, which took control of Boots last year through the acquisition of its parent Walgreens Boots Alliance, has entered into discussions with potential strategic buyers before Easter, the Financial Times has reported.
Negotiations have progressed with the Canadian branch of the Weston family, which holds stakes in grocery chain Loblaws and pharmacy chain Shoppers Drug Mart through its Wittington Investments, the daily added.
According to Reuters, Boots' owners in April began working with consultants on a strategy overhaul ahead of a potential London IPO as soon as 2027, which also included the possibility of a sale.
Sigma is the parent company of Australian pharmacy chain Chemist Warehouse Group, and this would make Boots a potentially strategic asset.
Chemist Warehouse had entered the UK market in May by acquiring a 75 percent stake in 22 branches of Greenlight Healthcare Limited.
Chemist Warehouse already has a presence in China, Dubai, Ireland and New Zealand, and it is Australia’s largest drugstore chain with 553 stores across 412 cities.
Meanwhile, Boots appointed Currys veteran Alex Baldock as chief executive in May, and he will take charge in the spring this year.
The appointment was reportedly made to facilitate the pharmacy chain get listed in the London stock market.
Boots operates more than 1,800 stores across Britain, offering pharmacy services, health products, and beauty brands.
It is also a major provider of National Health Service-funded pharmacy services.
