Mukesh Ambani's Reliance Industries is now working on the potential bid for UK's high street chain Boots with US buyout firm Apollo Global Management. Earlier this year, the Walgreens Boots Alliance announced a review of the Boots business and reportedly put the company up for sale. UK high street chain Boots - which has more than 2,200 pharmacies, health and beauty stores in the UK - could be valued at as much as £6 bn ($7.5bn). The future of the 173-year- old Boots business has been in question for months.
Amani’s deal would see Boots expand into India, Southeast Asia and the Middle East as well as growing the business in the UK. Under the plan, Reliance and Apollo would own stakes in Boots, although it was not clear whether they would be equal partners in the business.
The Ambani family already own assets in the UK worth tens of millions of pounds. In 2019, Reliance Brands Limited, which is owned by Ambani, bought the toy retailer Hamleys for an undisclosed sum. Last year, Reliance Industries bought the historic British country club Stoke Park for £57 m.
India has recently seen a rise in online pharmacy retailers and this potential deal would enable Reliance to fast-track its entry into the sector. But as big online retailers like Walmart and Amazon sell everything, retailers offering more specific ranges have struggled to get a foothold in the massive Indian market. It will also be interesting to see how Reliance positions itself in the pharmacy and wellness business abroad.
