Breaking news: Boots sold to Weston family’s Wittington Investments for US$8.9B
Key takeaways
- Wittington Investments has agreed to acquire Boots for US$8.9 billion, including assumed debt.
- The deal covers Boots’ UK and Ireland stores, Boots Opticians, No7 Beauty Company, and its Thailand and franchised businesses.
- Fairfax Financial is partnering on the deal, which is expected to close in the first quarter of 2027.
Boots has been sold to Wittington Investments for US$8.9 billion. The purchase includes assumed debt.
Wittington will acquire Boots’ retail operations in the UK and Ireland, Boots Opticians, No7 Beauty Company, and its Thailand and franchised businesses.
Before the breaking news deal, the UK pharmacy and beauty retailer was mostly owned by US private equity firm Sycamore Partners, in partnership with Stefano Pessina and his family. The two parties will retain ownership of The Boots Group’s interests in Mexican pharmacy chain Farmacias Benavides and German pharmaceutical wholesaler, Alliance Healthcare Deutschland.
The transaction is subject to regulatory approvals and the satisfaction of customary closing conditions and is expected to finalize in the first quarter of 2027.
Store upgrade plans
Wittington is a holding company of the Weston family based in Canada.
The Weston group brings expertise across retail, pharmacy, and beauty. The company, with 2,800 locations, owns Shoppers Drug Mart, Canada’s largest pharmacy, health, and beauty business.
Wittington has a longstanding connection to the UK, with its past ownership of Selfridges from 2003 to 2021.
Wittington plans to upgrade Boots stores and its online experience.
Fairfax Financial Holdings, a Toronto-based holding company, is partnering with Wittington on the acquisition, with Wittington having operational control upon close. Fairfax, through its subsidiaries, is primarily engaged in property and casualty insurance and reinsurance and associated investment management, with relevant portfolio investments in the consumer retail sector.
Prem Watsa, chairman and CEO of Fairfax, says: “For many years, the Westons have grown and developed some of the most successful retail brands in Canada, including in pharmacy and beauty, and we are very confident that Wittington will be an excellent steward of the Boots business.”
Wittington plans to upgrade Boots stores, optimize the retailer’s online experience, and support the expansion of health care services available to customers.
Upon closing, Galen Weston, chairman of Wittington, will become chairman of Boots.
“We see a meaningful opportunity to make a great business even better through stable long-term ownership, further capital investment, and the renewed operating focus required to serve customers with excellence for generations to come,” says Weston.
