Walgreens Boots Alliance has entered a $10 billion definitive agreement with Sycamore Partners, a private equity firm, to take the company private.
The total deal value could reach up to $23.7 billion and is expected to be completed in the fourth quarter of 2025,
Here are five things ASC leaders and physicians need to know:
1. Walgreens shareholders will receive $11.45 per share in cash at closing, with potential additional payouts of up to $3 per share from the future sale of Walgreens’ stakes in VillageMD, Summit Health and CityMD. Cigna’s Evernorth holds a minority stake in VillageMD.
2. Walgreens had been in talks with Sycamore since December after announcing plans to close 1,200 stores over three years, with 500 closures expected in 2025.
3. In January, Walgreens suspended its quarterly cash dividend for the first time since 1932 to reassess its capital allocation, a move tied to its long-term turnaround efforts.
4. Walgreens will continue operating under its existing name and maintain its Chicago headquarters, ensuring continuity in its branding and leadership during the transition.
5. CEO Tim Wentworth stated that going private will help Walgreens execute its turnaround strategy more efficiently, leveraging Sycamore’s retail expertise to drive long-term growth.
