Walgreens to buy remainder of Boots Alliance, but shuns inversion

6 August 2014

US pharmacy giant Walgreen (NYSE: WAG) has exercised its option to buy the remaining 55% of European pharmacy retailer and wholesaler Alliance Boots in a $15.26 billion deal that will keep its corporate tax headquarters in the USA.

The board of Walgreens will now seek shareholder approval for the £9 billion deal to go through. Walgreens bought a 45% stake in Alliance Boots in 2012.

Under the structure of the deal, Walgreen will pay about $5.29 billion in cash and 144.3 million shares of common stock, which was valued at $9.97 billion at the close of trading Tuesday.

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