The family behind Canada’s largest pharmacy and grocery chains is expanding its business by acquiring the U.K. drugstore Boots. Wittington Investments, the Weston family holding company, announced on Wednesday that it will buy Boots for $8.9 billion US (approximately $12.7 billion Cdn), including debt, from Sycamore Partners.
In addition to Boots’s retail operations in the U.K. and Ireland, Wittington will also take over its businesses in Thailand, franchised operations, optical division, and No7 Beauty Company. Fairfax Financial Holdings Ltd., based in Toronto, will collaborate with Wittington on the acquisition. Galen Weston is set to become Boots’s chairman after the deal closes in the first quarter of 2027, with Wittington assuming operational control.
Galen Weston expressed his interest in Boots due to its longstanding presence in Britain, trusted reputation, and significant role in the daily lives of people in the U.K. and Ireland. He highlighted the potential for enhancing the business further through stable ownership, increased investment, and a renewed focus on customer service excellence.
Boots, a prominent retailer in Britain, shares similarities with Shoppers Drug Mart, a Canadian pharmacy chain associated with the Westons. The Weston family is renowned in Canada for establishing Loblaw Companies Ltd. and George Weston Ltd., as well as owning Holt Renfrew department store. They also have investments in Associated British Foods, the parent company of Primark and brands like Twinings tea and Mazola oils.
The potential return of Boots to Canada following the acquisition remains uncertain. If Boots re-enters the Canadian market, it could pose competition for Shoppers Drug Mart, which operates around 1,350 stores in the country. Boots currently has approximately 1,800 locations worldwide.
Rumors of the Weston family’s interest in acquiring Boots surfaced in late September. Analysts believed that the family’s expertise in retail pharmacy from their existing businesses could be advantageous for Boots. The deal is expected to have minimal impact on Loblaw Companies Ltd. or George Weston Ltd. if executed through Wittington, the family’s private investment arm.
As part of the acquisition agreement, Sycamore Partners, along with Stefano Pessina and his family, will retain ownership of Boots Group’s interests in Farmacias Benavides and Alliance Healthcare Deutschland. Stefan Kaluzny, managing director of Sycamore Partners, praised Boots’s management team and employees for their dedication and emphasized the bright future ahead for the company.