US private equity firms consider Boots buy-out
Two of the world’s largest buyout firms Bain Capital and CVC have reportedly joined forces to launch a joint takeover bid for Boots.
Bain and CVC are currently being advised by banks at Lazard around a multibillion-pound acquistion for the health and beauty giant, according to Sky News.
The deal is set to involve “substantial investment” in Boots’ beauty, digital, and healthcare products according to the report.
The potential deal will involve executive Dominic Murphy, who worked on the £11 billion takeover of Alliance Boots by private equity firm KKR in 2007, according to the report.
In December, it was reported that Boots’ parent company Walgreens Boots Alliance was in discussions with Goldman Sachs about finding potential buyers for the company.
The UK retail industry has seen substantial interest from US private equity firms over the last year.
The pharmacy and health and beauty chain currently employs over 50,000 people across 2,000 UK stores.
Boots UK comparable pharmacy sales increased 8.8% in the quarter ended November due to increased footfalls.
