KKR has sold its remaining stake in Alliance Boots to Walgreens Boots Alliance following the exercise by Walgreens of the call option to acquire the remaining 55% of Alliance Boots as the second step of the overall transaction.
In August 2012, Walgreens acquired 45% of Alliance Boots in the first step of the overall transaction.
Dominic Murphy, Member, Head of KKR operations in the United Kingdom says: “The investment in Alliance Boots adds to our track record of partnering with European entrepreneurs to build global companies and industry leaders. Since Alliance Boots was taken private in 2007, a strong investment program has led to a transformation of the company, both at the retail and distribution side, and to a strong international expansion across Europe, the Middle East and Asia. In 2012, we created, together with Walgreens, the world’s largest pharmacy-led health and wellbeing enterprise. Since then, Alliance Boots and Walgreens have made strong progress in executing on all synergies and plans, allowing the announcement today of the full combination.”
Stefano Pessina, who will become acting CEO of Walgreens Boots Alliance, says: “I have often said that KKR couldn’t have been a better partner for me and Alliance Boots. They shared and supported my long-term vision of creating a global industry leader, with an ownership culture which encourages profitable growth, innovation and entrepreneurship. KKR has backed me every step of the way towards creating a global enterprise.”
Walgreens Boots Alliance spans more than 25 countries, with over 12,800 stores, over 370,000 employees and more than 340 pharmaceutical distribution centres serving more than 180,000 pharmacies and other points of care. The merger also brings together a unique brand portfolio of outstanding retail, wholesale, service and product brands, alongside the world’s largest pharmaceutical wholesale and distribution network.
Dominic Murphy will serve as a director on the board of directors of Walgreens Boots Alliance. KKR will hold 4.6% of the equity of Walgreens Boots Alliance.
