Shares in Boots' parent company have surged to their highest point in nine months following reports of a potential buyout.
Walgreens Boots Alliance bosses are keeping tight-lipped following national speculation a private equity group had valued the US firm at $70 billion.
According to reports, KKR is the group which has issued a buyout proposal to the drugstore chain, which took over Beeston-headquartered Boots in 2014.
A spokesperson for Walgreens said no comment is being made on the reports and no announcement has been made through the US Stock Exchange. However, shares in the company did jump six percent yesterday, November 11, to their highest position since March.
The news has come just a few weeks after Walgreens released its annual results for the 2019 fiscal year, which showed an increase in sales to $136.9 billion but a fall in operating income to $5 billion.
Following the publication of the results, Walgreens executive vice chairman and chief executive, Stefano Pessina, said: "We are pleased to report fiscal 2019 results in line with our previously stated guidance despite a challenging operating environment.
"We are also making progress on our four strategic priorities, which we remain confident are positioning us to deliver long-term growth.
"While we still face headwinds, I am encouraged by the improvement in U.S. comparable sales performance in the second half of fiscal 2019 and our progress in managing costs in order to save to invest to grow.
"We are introducing guidance for fiscal 2020 adjusted earnings per share, which we expect will be roughly consistent with fiscal 2019 at constant currency rates - very much in line with our expectations.”
The company, however, did also confirm it wanted to save an additional $300 million in the next three years, to $1.8 billion.
This cost-cutting drive has resulted in some job losses at Boots UK.
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