All articles tagged with #walgreens
Walgreens, a historic Chicago drugstore chain, was acquired by private equity firm Sycamore Partners in a highly leveraged buyout, raising concerns about its future stability due to high debt levels, past corporate struggles under similar ownership, and recent cost-cutting measures, which may lead to store closures, job losses, and reduced community access to healthcare by 2026.
Walgreens has launched an expanded flu and COVID-19 tracker that combines store data, CDC wastewater data, and other sources to monitor respiratory virus spread across the US, addressing gaps caused by federal data delays and shutdowns.
CVS and Walgreens are restricting COVID vaccine access in Colorado and other states due to new federal policies and regulatory challenges, requiring prescriptions for certain age groups and conditions, amidst ongoing confusion and internal turmoil within the CDC and federal health agencies.
CVS and Walgreens are limiting access to COVID-19 vaccines in some states due to varying state regulations, with CVS not offering vaccines in Massachusetts, Nevada, and New Mexico without a prescription, and Walgreens preparing to offer vaccines where permitted following recent FDA approvals. These changes reflect ongoing adjustments to vaccination policies amid evolving federal and state guidelines.
In Colorado, CVS and Walgreens now require a prescription for COVID-19 vaccines this fall, due to changes in state law and the lack of a recent recommendation from the CDC's advisory committee, which affects insurance coverage and vaccine availability for certain groups.
Sycamore Partners has completed its acquisition of Walgreens Boots Alliance, with Walgreens operating as a standalone company under private ownership, and the company's stock ceasing trading on Nasdaq. The deal includes a cash consideration and potential future payments from WBA shareholders, with key stakeholders expressing confidence in the future of the pharmacy chain and its related businesses.
Walgreens Boots Alliance shareholders overwhelmingly approved the company's acquisition by Sycamore Partners, with about 96% voting in favor, paving the way for the transaction expected to close in late 2025, which includes a cash payment of $11.45 per share and potential additional proceeds from divested assets.
Walgreens Boots Alliance reported a third-quarter loss of $0.20 per share for fiscal 2025, driven by prior-year gains and higher taxes, with sales up 7.2% to $39 billion. The company withdrew its full-year guidance due to pending acquisition by Sycamore Partners, and highlighted ongoing challenges in retail sales despite improvements in healthcare segments.
Walgreens, once a $100 billion giant, has shrunk to a $10 billion private equity target due to failed M&A strategies, retail neglect, and declining pharmacy margins, leading to its acquisition by Sycamore Partners and a potential overhaul of its business model.
Walgreens Boots Alliance shares rose on Friday after reports that Sycamore Partners is seeking funding for a potential $10 billion acquisition to take the company private. Sycamore is in talks with major banks to finance the deal, which may involve selling Boots and VillageMD. Walgreens has previously rejected acquisition offers from firms like Apollo Global Management and KKR.
Walgreens is facing significant challenges, with its stock plummeting over 80% in five years and plans to close 1,200 stores. The company is reportedly in talks with Sycamore Partners to go private. Walgreens struggles due to its traditional pharmacy model, smaller scale compared to CVS, and reliance on less profitable retail sales. Declining reimbursement rates from pharmacy benefit managers and competition from online and big-box retailers have further impacted profits. While CVS also faces challenges, its expansion into healthcare services has helped offset losses. A study highlights that pharmacy closures, particularly in minority neighborhoods, could exacerbate health disparities.
The S&P 500 fell 0.3% as markets cooled ahead of key inflation data. Walgreens shares surged 17.7% on buyout talks with Sycamore Partners, while Moderna plunged 9.1% after a negative analyst rating. Oracle's shares dropped 6.7% despite strong AI demand, and Super Micro Computer fell 8.2% amid filing concerns. Alphabet rose 5.6% after unveiling a new quantum computing chip, and a federal judge blocked a merger between Kroger and Albertsons, affecting their stock prices.
Walgreens Boots Alliance is in discussions to be acquired by private equity firm Sycamore Partners, following a significant drop in its share value. The potential deal, which could be finalized by early next year, would mark Sycamore's largest acquisition, with Walgreens' market capitalization reaching $9 billion after a recent stock surge. Walgreens has faced financial challenges, including weak consumer spending and low reimbursement rates, and has been exploring various strategic options to address its declining earnings.
Sycamore Partners is in discussions to acquire Walgreens Boots Alliance, potentially taking the struggling drugstore chain private. The news, initially reported by the Wall Street Journal, led to a significant stock surge, marking Walgreens' largest single-day gain since 1980. Walgreens has faced financial challenges, including a $3 billion loss in the fourth quarter and plans to close 1,200 stores. The company has been a potential take-private candidate for years, with previous interest from KKR & Co.
Walgreens Boots Alliance is in discussions with Sycamore Partners to potentially go private, causing a 25% surge in its stock. Additionally, Walgreens, CVS, and Walmart won a legal case in Ohio, reversing a $650.9 million opioid crisis verdict. Despite these developments, Walgreens plans to close 1,200 stores by 2027 due to financial challenges, reflecting broader industry trends of pharmacy closures.