Report: Walgreens In Talks To Sell Itself To Private Equity Firm
The “For Sale” sign appears to be in the window at Walgreens as the drug store chain is reportedly in talks to sell the company to private equity firm Sycamore Partners, the Wall St. Journal reported.
Citing people familiar with the matter, The Journal report indicated the two entities have been discussing a deal that could be completed in early 2025.
Walgreens Boots Alliance touts itself as an integrated healthcare, pharmacy, and retailer leader serving millions of customers and patients around the world. Across the U.S., Europe, and Latin America, the company currently has more than 12,500 locations and more than 330,000 employees.
Reports of a possible sale of the company come just weeks after Walgreens announced it will close approximately 1,200 stores over the next three years, with 500 stores to shut their doors in 2025. The additional store closures follow a decision by the drug store chain in June to close 300 locations.
“Fiscal 2025 will be an important rebasing year as we advance our strategy to drive value creation,” Tim Wentworth, CEO of Walgreens Boots Alliance, said at the time. “This turnaround will take time, but we are confident it will yield significant financial and consumer benefits over the long term.”
Recently named a Store Brands 2025 Retailer To Watch, Walgreens earlier this year announced its intent to reevaluate its assortment to ensure the relevancy of the products it carries, leveraging select partners, and its own brands.
“This means we will work with fewer partners who are helping us win,” Wentworth said. “In the last quarter alone, we’ve removed eight national brands and redeployed those SKUs toward own brands and preferred partners within health and wellness categories.”
