Walgreens Boots Alliance Sells Shares Of Cencora

(RTTNews) - Walgreens Boots Alliance Inc. (WBA) said that it has sold shares of Cencora Inc. (COR) common stock for current proceeds of about $424 million. In addition, Walgreens Boots Alliance entered into a concurrent share repurchase by Cencora for proceeds of about $250 million.

Walgreens Boots Alliance's ownership of Cencora's common stock has decreased as a result of the concurrent share repurchase by Cencora but remains at about 15%.

Walgreens Boots Alliance noted that its ownership of Cencora's common stock has not been impacted by the entry into the variable prepaid forward transactions, which provide Walgreens Boots Alliance with current liquidity while allowing it to maintain voting and dividend rights in the Cencora common stock, as well as the ability to participate in potential stock price appreciation during the term of the contracts.

The contracts are scheduled to settle starting in the fourth quarter of fiscal year 2026, at which time Walgreens Boots Alliance intends to deliver 2.7 million shares of Cencora common stock in the aggregate to the counterparties to the contracts and may receive additional proceeds up to $137 million depending on the stock price at the time.

The company plans to use the proceeds primarily for debt paydown and general corporate purposes. The transaction is another decisive action to further simplify the Company's portfolio, while improving cash management.

Chief Operating Officer, International of Walgreens Boots Alliance, Ornella Barra, will continue to serve on Cencora's Board of Directors.