Walgreens Boots Sells Cencora Shares For $992M, Decreases Ownership To ~13%; Cencora Repurchases $50M
Portfolio Pulse from Benzinga Newsdesk
Walgreens Boots Alliance, Inc. (WBA) has sold shares of Cencora, Inc. (COR) for approximately $992 million, reducing its ownership to about 13%. The sale includes $942 million sold under Rule 144 and a $50 million share repurchase by Cencora. The proceeds will be used by WBA for debt reduction and general corporate purposes. This transaction does not affect their ongoing collaboration and strategic partnership.
February 08, 2024 | 6:46 am
News sentiment analysis
Sort by:
Ascending
NEUTRAL IMPACT
Cencora repurchases $50M of its shares in a transaction where Walgreens Boots Alliance sells part of its stake, reducing ownership to about 13%.
Cencora's repurchase of $50 million of its shares as part of the transaction with WBA is a neutral event. While share repurchases can signal confidence from management in the company's future, the reduction in WBA's ownership could be seen as a negative. However, the ongoing strategic partnership between the two companies mitigates potential negative perceptions, leading to a neutral short-term impact on COR's stock price.
CONFIDENCE 85
IMPORTANCE 60
RELEVANCE 70
POSITIVE IMPACT
Walgreens Boots Alliance sells Cencora shares for $992M, reducing its stake to about 13%. Proceeds aimed at debt reduction and corporate needs.
The sale of Cencora shares by WBA for $992 million and the use of proceeds for debt reduction and general corporate purposes is likely to be viewed positively by investors. Reducing debt can improve financial stability and investor confidence, potentially leading to a short-term positive impact on WBA's stock price.
CONFIDENCE 90
IMPORTANCE 75
RELEVANCE 90