- Walgreens Boots Alliance (WBA, Financial) shareholders approve merger with Sycamore Partners.
- Transaction expected to close in late 2025, subject to regulatory approvals.
- Shareholders to receive $11.45 per share in cash along with potential additional payments.
Walgreens Boots Alliance, Inc. (WBA) has announced that its shareholders overwhelmingly approved the proposed transaction with Sycamore Partners Management, L.P. Approximately 96% of votes from all shareholders were in favor, while 95% of votes from unaffiliated shareholders supported the merger agreement. This significant approval took place during the Company's Special Meeting of Shareholders.
Under the terms of the agreement, WBA shareholders will receive $11.45 per share in cash at closing. Additionally, shareholders will obtain a non-transferable Divested Asset Proceeds Right, which may provide an extra $3.00 per share depending on the future monetization of WBA's debt and equity interests in VillageMD. WBA anticipates the transaction to close by late 2025, contingent on standard closing conditions and regulatory approval.
Tim Wentworth, CEO of Walgreens Boots Alliance, emphasized the benefits of Sycamore's partnership, stating that it will enhance their turnaround strategy and improve customer, patient, and team member experiences. WBA looks forward to this new chapter, expanding their role in pharmacy, retail, and health services.
The final voting results will be detailed in a Form 8-K submitted to the U.S. Securities and Exchange Commission (SEC). Centerview Partners and Morgan Stanley & Co. LLC serve as financial advisors to WBA, while Kirkland & Ellis LLP and Ropes & Gray LLP are providing legal and healthcare regulatory counsel, respectively.
