The US owner of the Boots pharmacy chain is being taken over by a private equity firm in a $10bn (£7.8bn) deal. The price being paid for Walgreens Boots Alliance is a fraction of what the company was worth a decade ago, reflecting its struggles with growing debt and shoppers going online for cheaper products. There have been reports that Boots chain could be sold off separately by its new owner, US private equity firm Sycamore Partners. Walgreens chief executive Tim Wentworth said the company was navigating the “challenges of a rapidly evolving pharmacy industry and an increasingly complex and competitive retail landscape”. Meanwhile, George Godber, fund manager at Polar Capital, said Boots had been “in and out of different ownership for some time” and that “its business model has struggled”. People are buying more of those personal healthcare brands online than they are in the shop. There are now 1,900 Boots stores left in the UK. Sycamore Partners is paying $11.45 per share for Walgreens Boots Alliance, which is more than its shares are currently worth on the US stock market. The deal is expected to be completed by the end of this year.
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