AmerisourceBergen [NYSE: ABC] reported that the company has inked a strategic contract with Walgreens Boots Alliance. As per the terms of the contract, AmerisourceBergen will purchase the majority of the Alliance Healthcare business from Walgreens for $6.5 billion. In the transaction, Amerisouce will pay $6.275 billion in cash meanwhile it will pay the rest with 2 million shares of the company’s common stock.
This transaction will strongly aid and support pharmacies around the globe. Moreover, Walgreen will be able to expand its focus on the core retail pharmacy business providing and bringing better healthcare services. Moreover, the companies also consented to enhance their strategic collaboration by intensifying their commercial agreements.
Stefano Pessina CEO of Walgreens said “This contract will empower critical value creation for the two organizations. It will produce new collaborations in addition to those already seized. “
“Today’s acquisition will grow our span in pharmaceutical supply and add to the company’s profundity of worldwide manufacturer service. I anticipate extending our effective collaboration with Walgreens Boots Alliance and welcome the Alliance healthcare to AmerisourceBergen’s family. Together, we will satisfy AmerisourceBergen’s motivation for being united in our obligation to make the future healthier”. Said Steven Collis, Chairman, President & CEO of AmerisourceBergen