(Reuters) – US drug wholesaler AmerisourceBergen Corp said Wednesday it will buy Walgreens Boots Alliance’s drug distribution business for $ 6.5 billion to expand into Europe.
AmerisourceBergen will pay Walgreens $ 6.27 billion in cash and deliver 2 million AmerisourceBergen common stock at the close of the transaction.
Walgreens’ unit, Alliance Healthcare, is one of the largest drug distributors in Europe. Reuters reported in May that AmerisourceBergen had approached Walgreens to explore a unity deal.
With the deal, Walgreens Boots Alliance will be able to focus more on its core retail pharmacy businesses, which have experienced declining sales due to the COVID-19 pandemic.
With a 30% stake, Walgreens is the largest shareholder of AmerisourceBergen.
Reportage by Manas Mishra in Bengaluru; Editing by Arun Koyyur