Boots expands to emerging markets as it buys chemists in Mexico and Chile in a blockbuster deal

Alliance Boots has entered the Latin American market in a big way, with the acquisitions of two major retail pharmacy chains in the region after long eyeing expansion in emerging markets. The private equity-backed retailer will spend £375million buying Mexico’s Farmacias Benavides and Farmacias Ahumada in Chile, both number three in their home market. Alliance Boots has picked Farmacias Benavides, the No.3 pharmacy chain in Mexico, and Farmacias Ahumada, one of the three largest pharmacy chains in Chile. The two groups – which are controlled by one entity - operate a combined 1,400 outlets, and generate annual revenues of around £835m. The two groups have well established brand names which are likely to remain above the door for the medium term. The transaction, which is subject to regulatory approvals, is expected to complete in the third quarter of 2014. The deal includes £375m in cash, and around £65m more in debt. Alliance Boots has been catapulting itself into new markets, latterly teaming up with Walgreens in America in a partnership that is likely to be cemented as a full merger next year. Alliance Boots plans to expand the retail brands into Brazil and Columbia. The idea is to launch some of its Boots brands, such as its No7 cosmetics line Private Equity & Venture Capital - Luxury Brands – Retail - Emerging Markets - Brand Entertainment - Content Strategies - Inbound Marketing Essentials - Newmedia – EDM Events - Celeb DJS Opening doors in emerging markets; Become a clubmember http://www.monarchcapital.eu/ #luxury #brands #retail #youngandminted #CEO #retail #marketing #fanpower #privateequity #venturecapital #Funding #IPO #Tech #Newmedia #Startups #EDM #DJ #Seedcapital #entertainment #Facebook #fanengagement #fanloyalty #loyaltyprogram #musicindustry #innovation #socialmedia