Partly Cloudy

Partly Cloudy

max temp: 20°C

min temp: 12°C

ESTD 1874 Search

UK: Boots to go into US ownership

11:02 06 August 2014

Boots is set to fall into US ownership today when drugs store giant Walgreens unveils a deal to buy the part of the business it does not already own.

Boots is set to fall into US ownership today when drugs store giant Walgreens unveils a deal to buy the part of the business it does not already own.

Boots is set to fall into US ownership today when drugs store giant Walgreens unveils a deal to buy the part of the business it does not already own.

shares

The American retailer, which also trades as Duane Reade, is expected to spend about £5billion on the outstanding 55% stake in Alliance Boots, which comprises Boots the Chemist and pharmaceuticals distribution arm Alliance.

An announcement is expected later today, with Sky News also reporting that Walgreens will shun the opportunity to move its corporate headquarters to the UK or Switzerland, where it can pay less tax.

Walgreens acquired its 45% stake in Alliance Boots for 6.7 billion US dollars (£4bn) in 2012 and has the option to buy the rest by next August. The deal for full ownership of the business is expected to be completed in 2015.

Alliance Boots is also owned by executive chairman Stefano Pessina and private equity firm KKR after they took the Nottingham-based business private following an £11.1bn deal in 2007.

Walgreens trades from more than 8,500 locations across the US, while Alliance Boots has 2,500 stores and approximately 75,000 staff in the UK.

Boots brands such as No7 and Botanics are already sold in Walgreens and Duane Reade stores in the US, with the American firm’s products introduced to Boots stores as part of the deal in 2012.

Alliance Boots traces its roots back to 1849 when John Boot opened his first store selling herbal remedies in Goose Gate, Nottingham. It opened its 1,000th store in 1933 followed by the No7 cosmetics range two years later.

Boots Group merged with Alliance UniChem to form Alliance Boots in 2006 before it was taken private in Europe’s largest leveraged buyout a year later.

shares

0 comments

Welcome , please leave your message below.

Optional - JPG files only
Optional - MP3 files only
Optional - 3GP, AVI, MOV, MPG or WMV files
Comments

Please log in to leave a comment and share your views with other East Anglian Daily Times visitors.

We enable people to post comments with the aim of encouraging open debate.

Only people who register and sign up to our terms and conditions can post comments. These terms and conditions explain our house rules and legal guidelines.

Comments are not edited by East Anglian Daily Times staff prior to publication but may be automatically filtered.

If you have a complaint about a comment please contact us by clicking on the Report This Comment button next to the comment.

Not a member yet?

Register to create your own unique East Anglian Daily Times account for free.

Signing up is free, quick and easy and offers you the chance to add comments, personalise the site with local information picked just for you, and more.

Sign up now

Ransomes Jacobsen operations director Simon Rainger addresses staff as the company's last Ransomes Commander mover leaves the production line.

Staff at Ipswich-based turf maintenance machinery maker Ransomes Jacobsen have marked the end of an era, with the last Ransomes Commander mower having rolled off the production line.

Charles Manning on the new patio area at Bears Boutique Bar and Bowling in Star Lane, Ipswich

Businessman Charles Manning is pleased with the way his Bears bowling bar and grill is fitting into the entertainment offer in Ipswich – and with the business community.

The rate of growth in the UK economy rebounded during the second quarter of 2015, but the manufacturing sector continued to struggle, according to official figures.

UK growth bounced back in the second quarter of 2015 as gross domestic product (GDP) increased by 0.7%, according to official figures.

Barker Gotelee has welcomed Lucy Underwood, conveyancing assistant, Linda Crawford, solicitor, Nicky Sunderland. trust and estate planning practitioner, and Lisa Hobbs, junior secretary.

Ipswich-based law firm Barker Gotelee has welcomed four new employees across its expanding business.

A Ryanair aircraft atStansted Airport.

Budget airline Ryanair today reported a 25% jump in earnings for the first quarter of its new financial year.

Alton Towers in Staffordshire.

Alton Towers owner Merlin expects annual earnings for its theme parks business to drop by as much as £47million this year following last month’s rollercoaster crash.

Artist's impression of how an office development in Sheepen Road, Colchester, could look

A council has managed to secure tenants for a new office development before work has even begun on building it.

Manufacturers in the East of England are in confident mood, according to a new report.

Manufacturers in the East of England are helping to lead the way in exports and business confidence, according to a new report

Tom Gillman of Crafted.

Mediterranean Shipping Company, which has its UK head office in Ipswich, has launched a new global website, designed and built by locally-based digital agency Crafted.

IPRS Group celebration at Wherstead Park, Ipswich

Company celebration is a boost for charities

Most read

Most commented

Topic pages