PLMA_1170x120_9-30-21

WBA closes Alliance Healthcare sale

Print Friendly, PDF & Email

DEERFIELD, Ill. — Earlier this month Walgreens Boots Alliance (WBA) announced that it has finalized the sale of its Alliance Healthcare businesses to AmerisourceBergen.

The $6.5 billion deal included $6.275 billion in cash (subject to a customary net cash and working capital adjustment) and 2 million shares of AmerisourceBergen common stock. WBA said it will use the cash proceeds to reduce debt and accelerate the growth of its core retail pharmacy and health care businesses.

The company has used a portion of the funds to repay the outstanding amount owed on a $3.8 billion term loan that funded the bond tender completed by the company on April 26. This has eliminated $3.3 billion in debt from the company’s balance sheet. The company plans to invest the remaining net cash proceeds in strategic opportunities and to expand health care offerings to help accelerate its growth strategy.

These investments will further build on previously announced initiatives, including WBA’s investment in VillageMD to support the opening of 600 to 700 Village Medical at Walgreens primary care clinics in over 30 U.S. markets within the next four years. The two companies aim to build hundreds of additional clinics thereafter. In addition, it will enhance WBA’s acquisition of a majority stake in iA, a leading-edge provider of software-enabled pharmacy automation solutions.

“Completion of this transaction represents a significant step forward in our transformation and will fuel investments to grow WBA’s core retail pharmacy and health care businesses,” said Roz Brewer, chief executive officer of WBA. “Through these and other investments, WBA looks to bring even more innovative health care offerings to our customers and patients, as we further accelerate our strategic ­priorities.”

WBA and AmerisourceBergen will also execute on the expansion and extension of commercial agreements that are expected to drive incremental growth and synergies.


SATIS_728x90_1-25-21

FREUD_728x90_6-19-20

Comments are closed.