Boots is in early-stage discussions over a potential $10bn sale, as private equity owner Sycamore Partners weighs strategic exit options and steps back from earlier plans for a London IPO, according to a report by the Financial Times.
Potential bidders include the Canadian arm of the Weston family, through its investment vehicle Wittington Investments, as well as Australian pharmacy group Sigma Healthcare, both of which are exploring acquisitions as Boots becomes one of the largest UK retail assets currently in play.
Sycamore, which took control of Boots as part of its $23.7bn acquisition of Walgreens Boots Alliance, began informal marketing of the business earlier this year. The process remains at an early stage, with no final decision made and multiple strategic options still under consideration.
Boots has been reshaped under Sycamore’s ownership, including the division of Walgreens Boots Alliance into multiple standalone businesses, with Boots positioned as a core UK retail and pharmacy platform. The Weston family already has significant retail experience through holdings such as Loblaw Companies and pharmacy chain Shoppers Drug Mart, while Sigma has been pursuing international expansion following its merger with Chemist Warehouse Group.
Sigma has publicly confirmed its participation in preliminary discussions, underlining growing overseas interest in UK health and consumer assets. However, the company’s shares fell following the announcement, reflecting market caution over deal pricing and execution risk.
The potential transaction would mark another major private equity exit in European retail and a shift away from a planned public listing, which had been expected to revive London’s sluggish IPO pipeline. Boots had previously been positioned as one of several high-profile assets that could return to public markets, alongside other consumer and retail brands.
Boots, which has operated in various ownership structures for more than a century, has seen repeated attempts at a sale over recent years, including prior interest from alternative asset managers such as Apollo Global Management and TDR Capital, though earlier processes failed to result in a transaction.
Recent operational performance has shown modest growth, supported by strength in beauty products and pharmacy demand, including rising interest in weight-loss treatments. Revenues and profitability have both improved, though the business continues to operate under a complex legacy structure inherited from its former Walgreens Boots Alliance ownership.
