Why Walgreens Boots Alliance Soared Today
Shares of Walgreens Boots Alliance (NASDAQ: WBA) soared 20% on Tuesday, as of 2:35 p.m. ET.
The beaten-down retail pharmacy rallied on rumors it might get bought out by a private equity firm. Usually, buyouts happen at a premium to the market stock price, and with shares down 63% on the year and 90% from their highs, there was ample room for a premium over yesterday's closing stock price.
Today, The Wall Street Journal reported that private equity firm Sycamore Partners has been in talks with Walgreens regarding a potential buyout. The WSJ reported that according to "people familiar with the matter," talks could be consummated by the early part of next year.
Source Fool.com
