Walgreens’ downfall as a public company is more about its failed primary care investments than its pharmacy

The news: Walgreens is going private after being a publicly traded company for nearly 100 years. The retail pharmacy chain will be acquired by private equity firm Sycamore Partners for about $10 billion.

The total value of the transaction is $23.7 billion after accounting for debt and other liabilities, Walgreens said. The deal, which includes a 35-day window for Walgreens to solicit other offers, is expected to close in Q4 of this year.

Catch up quick: Sycamore has discussed splitting Walgreens into three parts and selling or spinning off some of the company’s assets, per the Financial Times. But the PE firm will probably keep Walgreens’ US-based retail pharmacy division, which accounted for over three-quarters of total 2024 sales.