Pharmacy With 200+ Michigan Locations to be Sold to Private Equity Firm

Just weeks after announcing that roughly 500 Walgreens locations would be closing in 2025, a private equity firm has agreed to purchase the struggling pharmacy chain.

Walgreens Boots Alliance, which owns the pharmacy chain in the US and several other countries announced last week that it is being sold to Sycamore Partners, ending its term as a publicly traded company.

Walgreens in Michigan

Walgreens currently has about 225 locations in 126 Michigan cities. The pharmacy chain operates about 8,500 stores in the US, after shuttering at least 70 stores by the end of 2024.

As we reported in January, Walgreens announced a plan to close 500 stores in 2025 with another 700 locations slated to close by the end of 2027.

Walgreens to be Sold to a Private Equity Firm

Walgreens announced Thursday (3/6) that Sycamore will pay $11.45 per share, which brings the value of the deal to just under $10 billion.

According to multiple reports, the buyout gives the drugstore chain the flexibility to make changes to its business practices without the worry of how it affects its standing in the stock market. Walgreens has been a publicly traded company since 1927.

The value of the company's stock has shrunk by about two-thirds in the last year.

 What's in Store for Walgreens?

It's nearly impossible to predict the future for Walgreens after it becomes a privately owned company.

According to CNN, the list of publicly owned companies that have gone private includes Toys R Us, Radio Shack, and Sports Authority. Those brands all met their demise after going private.

But publicly traded companies being sold to private equity firms does not always mean the end. Staples, for example, is currently owned by Sycamore Partners, the same firm that intends to buy Walgreens.

Walgreens officials have not specified if this latest move will impact Walgreens' plans to close locations in the next two years.