Walgreens Boots Alliance closes healthcare businesses divesting with AmerisourceBergen- Walgreens Boots Alliance(NASDAQ:WBA)closed the saleof its Alliance Healthcare businesses to AmerisourceBergen(NYSE:ABC)for ~$6.5B, consisting of $6.275B in cash (subject to a customary net cash and working capital adjustment) and 2M shares of AmerisourceBergen.
- Cash proceeds will be used to reduce debt and accelerate growth of its core retail pharmacy and healthcare businesses.
- The company has used partial funds to repay the outstanding amount owed on a $3.8B term loan that funded the bond tender completed by the company on Apr. 26, 2021; thereby eliminating $3.3B in debt from the company’s balance sheet.
- Remaining net cash proceeds are planned to be invested in strategic opportunities and to expand healthcare offerings and fuel company’s growth strategy.
- "Completion of this transaction represents a significant step forward in our transformation and will fuel investments to grow WBA's core retail pharmacy and healthcare businesses," CEO Rosalind Brewer commented.
- WBA and AmerisourceBergen will also execute on the expansion and extension of commercial agreements for driving incremental growth and synergies.