Mumbai : Walgreens Boots Alliance, Inc. has abandoned its $7 billion auction to sell drugstore chain Boots and No7 beauty company businesses, with a consortium of Reliance Industries Ltd and Apollo Global Management emerging as the top contenders.
The Chicago-based company said Tuesday that Walgreens Boots, which runs Europe’s largest chain of chemists and drugstores under the Boots brand, will retain business after the conclusion of a review that began in January. It said the decision was influenced by the strong performance of businesses despite challenging conditions globally and turbulent financial markets.
“We have now completed an in-depth review of Boots and No. 7 Beauty Company, the results of which reflect the rapidly evolving and challenging financial market conditions beyond our control. This is an exciting time for these businesses, which are growing health care and We are uniquely positioned to continue to capture the future opportunities presented by the beauty markets. The Board and I believe that Boots and No.7 Beauty Company hold strong fundamental values, and for the long term, we will continue to grow these businesses and our company. Will be open to all opportunities to maximize shareholder value,” said Chief Executive Rosalind Brewer.
The RIL-Apollo global consortium was in talks with a group of banks to raise $8 billion for the deal, which would have been RIL’s largest cross-border acquisition to date.