Boots’ retail operations sold for 8,9 billion dollars

The more than 2.000 pharmacies and parapharmacies Boots, plus a number of affiliated companies, are changing hands for a value of 8,9 billion dollars. Closing at the beginning of 2027.

The buyers, on an equal footing, are a leading Canadian consortium acquiring a package containing almost 3.000 outlets.

The two executives and buyers are Wittington Investments, the holding company of the Weston family, and Fairfax Financial Holdings Limited of Toronto.

What remains with Sycamore and the Pessina family

The buyers have signed a definitive agreement with the previous owners, New York private equity firm Sycamore Partners and the Pessina family.

The agreement with The Boots Group (25 billion dollars in combined revenue, according to S&P Global) does not involve a change in ownership of the entire company, but of a number of assets: Boots’ retail channels in the United Kingdom and Ireland, the optical brand Boots Opticians (536 shops in the UK) and No7 Beauty Company (skincare), a brand distributed in around 22.000 outlets, as well as Boots’ affiliated operations in Thailand.

Sycamore Partners and the Pessina family will instead retain ownership of other assets of the group: the Mexican Farmacias Benavides (more than 1.100 outlets) and Alliance Healthcare Deutschland, a wholesaler, distributor and retailer of pharmaceutical, surgical, medical and healthcare products throughout Europe.

Why Boots is a perfect fit for Weston Group

Weston Group brings extensive experience in the sectors involved in the deal, gained through owning and managing major Canadian companies.

These include Loblaw Companies, which operates 2.800 combined medicine and grocery stores, and Shoppers Drug Mart of Toronto, the largest local company specialising in the sale of medicines, pharmacy products and cosmetics.

Wittington Investments also has a longstanding connection with the United Kingdom, Boots’ home country, as from 2003 to 2021, it owned the luxury department storeSelfridges, now 60% controlled by the Thai conglomerate Central Group (which in Italy means Rinascente).

Some figures on the Canadian consortium

The Canadians plan to continue investing to develop Boots’ strengths and potential through store refurbishment and upgrades, optimisation of online sales and the introduction of an increasing number of healthcare services.

The transaction is expected to close in the first quarter of 2027.

Wittington Investments Limited, whose interests span multiple fields, including real estate, holds 29,86 billion in total assets in USD.

Fairfax Financial Holdings Limited is primarily an insurance and reinsurance company that manages the related investments. It has a stock-market capitalisation of 46,81 billion Canadian dollars (approximately 30 million euros).

This article was translated from the original Italian version with the assistance of artificial intelligence. In case of discrepancies, please refer to the original Italian version.