Private equity firm KKR & Co. has reportedly approached drug store chain Walgreens Boots Alliance about a deal to take the company private.
The New York-based private equity firm has been preparing a proposal to potentially buy out shareholders of Walgreens Boots, the report indicated. It’s unclear how feasible the transaction would be, given the need for large amounts of financing, and Walgreens Boots and KKR could decide against pursuing a deal, the report said.
Walgreens Boots, led by CEO Stefano Pessina, has been reviewing a potential deal with a financial adviser to take the company private amid buyout interest, Bloomberg News recently reported. Representatives for Walgreens Boots and KKR declined to comment regarding the report.
Walgreens Boots has a market value of about $56 billion, according to the report. This wouldn’t be Pessina’s first ambitious private equity deal with KKR. Pessina partnered with the buyout firm to acquire Alliance Boots in 2007.