Walgreens to raise curtain on partnership with Alliance Boots

Kasmira Jefford
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US pharmacy giant Walgreens and Alliance Boots are to meet with investors and analysts in the City tomorrow to update on the progress of its merger that will see the creation the world’s largest pharmacy group.

The meeting, which will be followed by a site visit to Boots’ headquarters in Nottingham, led to speculation this weekend that Walgreens would seek a London stock market float.

But the US firm, which is listed on NASDAQ, New York Stock Exchange and Chicago Stock Exchange yesterday ruled out any imminent plans to float on the London Stock Exchange.

Walgreens bought a 45 per cent stake in Alliance Boots last year for £4.2bn, with an option to buy the 55 per cent remaining stake in the next two and a half years.

The pharmacy chain was taken private by Italian billionaire Stefano Pessina and private equity firm KKR, for £12.2bn in 2007.

At the meeting this week the pair, which are currently running a joint venture, are expected to provide details on how they are achieving $100m-$150m of synergies from the merger.