UK's Boots in talks for $10 billion sale as owners plan to scrap IPO plans, FT reports
UK's Boots in talks for $10 billion sale as owners plan to scrap IPO plans, FT reports June 9 (Reuters) - Boots is in talks with the billionaire Weston family and Australian pharmacy group Sigma Healthcare SIG.AX over a $10 billion (£7.5 billion) sale that would see the British health and beauty retailer scrap its plans for a London IPO, the Financial Times reported on Tuesday, citing people familiar with the matter.
Here are some details:
Private equity firm Sycamore Partners, which took control of Boots last year through the $10 billion acquisition of its parent Walgreens Boots Alliance, entered into discussions with potential strategic buyers before Easter, the report said.
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.
In April, Reuters reported that the Boots' owners are 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.
Boots operates more than 1,800 stores across Britain, offering pharmacy services, health products and beauty brands including Soap & Glory. It is also a major provider of National Health Service-funded pharmacy services.
Sycamore declined to comment on the report, while Boots and Sigma Healthcare did not immediately respond to a Reuters request for comment. Wittington Investments could not be immediately reached for comment.
(Reporting by Unnamalai L and Akshaya V in Bengaluru; Editing by Sahal Muhammed)
((Unnamalai.L@thomsonreuters.com;))