US-based Walgreens and UK-based Alliance Boots are both leading players in the pharmacy retail business, and are also manufacturers of own-brand personal care and cosmetic products.
A recognition merger agreement was sealed last week by Walgreens shareholders that confirms the Walgreens business is a wholly owned subsidiary of Walgreens Boots Alliance.
This means that existing Walgreens common stock have been converted to Walgreen Boots Alliance Stock and will now trade on the Nasdaq stock exchange under the symbol WBA.
Big global beauty brands
The business comprises three divisions – Retail Pharmacy USA, Retail Pharmacy International and Pharmaceutical wholesales – in addition to a number of global cross divisional functions that includes Global Brands.
Big global beauty brands including own-name products and the globally recognised No. 7 name from the Boots Alliance portfolio.
Walgreens announced its merger with Boots back in 2012, after it bought a 45% share in the business at a cost of $6 billion.
The companies state that with the completion of Step 2, Walgreens has acquired the remaining 55 percent of Alliance Boots in exchange for approximately $5.3 billion in cash and 144.3 million shares of stock.
Creating a milestone in beauty brands and healthcare
“The creation of Walgreens Boots Alliance is a crucial milestone for both Walgreens and Alliance Boots, combining iconic brands, complementary geographic footprints, shared values and a heritage of trusted health care services through pharmaceutical wholesaling and community pharmacy care, each dating back more than 100 years,” said Greg Wasson.
It has been confirmed that Wasson will be retiring as Walgreens president and CEO after completion of the merger.
“The combination instantly establishes a groundbreaking and game-changing new company that will help people across the world lead healthier and happier lives as we advance our industry and the delivery of retail health, wellbeing and beauty products and services worldwide,” Wasson added.