Updated
Updated · Bloomberg · Jun 16
Sigma Healthcare Withdraws $10 Billion Boots Bid as Australia M&A Failures Top $170 Billion
Updated
Updated · Bloomberg · Jun 16

Sigma Healthcare Withdraws $10 Billion Boots Bid as Australia M&A Failures Top $170 Billion

3 articles · Updated · Bloomberg · Jun 16

Summary

  • Sigma Healthcare’s exit from the Boots sale process ended a potential acquisition valued at about $10 billion, with the company saying it had ceased discussions immediately.
  • More than $170 billion of Australian outbound deals have been withdrawn or terminated over the past five years, making the failed Boots pursuit part of a broader pattern rather than a one-off setback.
  • Bankers have long targeted Australia for large Asia-Pacific transactions and their advisory fees, but local companies also tend to undervalue acquisition targets, according to Bloomberg’s report and analysis.
  • The collapse underscores the weak hit rate of Australian overseas dealmaking, highlighting persistent execution problems in one of the region’s most watched M&A markets.

Insights

Why did Sigma abandon a $10B Boots deal for a smaller, disruptive UK market entry?
With another sale collapsed, can iconic British pharmacy Boots successfully float on the stock market?
Is Chemist Warehouse's low-cost model a game-changer or a gamble for the UK pharmacy sector?