Walgreens Boots Alliance sells shares of AmerisourceBergen for $1.85 billion
Drugstore chain Walgreens Boots Alliance Inc. (WBA) on Thursday said it sold shares of drug distributor AmerisourceBergen Corp. (ABC) for initial proceeds of $1.85 billion. Walgreens said it planned to use the proceeds it got from the deal largely to pay down debt and to handle general operations. The financial figure reflects a sale made "pursuant to prepaid variable share forward transactions" through a share offering for around $1.6 billion, and "depending on the stock price at the time, potentially additional proceeds at maturity," set for fiscal 2026. The figure also reflects a share repurchase by AmerisourceBergen for proceeds of roughly $250 million. Walgreens said that such prepaid transactions "provide liquidity while maintaining ability to participate in potential stock price appreciation." Shares of Walgreens were down 0.3% after hours. Shares of AmerisourceBergen were unchanged.
-Bill Peters
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08-03-23 1917ET
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