The family that owns 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 the purchase of Boots for $8.9 billion US (approximately $12.7 billion Cdn), including debt, from private equity firm Sycamore Partners.
In addition to Boots’s retail operations in the U.K. and Ireland, Wittington will also take over its operations in Thailand and franchised businesses, its optical division, and No7 Beauty Company. Toronto-based holding company Fairfax Financial Holdings Ltd. will join Wittington in 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 admiration for Boots as one of Britain’s enduring businesses with a respected name and significant presence in the U.K. and Ireland. He sees potential for improvement through stable ownership, increased investment, and a renewed focus on customer service.
Boots, a leading retailer in Britain, shares similarities with Shoppers Drug Mart, a Canadian pharmacy chain connected to the Westons through Loblaw Companies Ltd.’s ownership. The Westons are renowned for their contributions to Loblaw Companies Ltd., George Weston Ltd., and luxury department store Holt Renfrew. They also have interests in Associated British Foods, which owns Primark, Twinings tea, Mazola oils, Mazzetti vinegars, Ovaltine, and Fleischmann’s yeast.
The possibility of Boots returning to Canada following the acquisition remains uncertain. Should Boots re-enter the Canadian market, it could potentially compete with Shoppers Drug Mart’s network of around 1,350 stores. The Westons’ familiarity with retail pharmacy through their existing businesses and investments was seen as advantageous by analysts when the rumors of the Boots acquisition surfaced in September.
As part of the acquisition agreement, Sycamore Partners and Stefano Pessina’s family will retain ownership of Boots Group’s interests in Farmacias Benavides and Alliance Healthcare Deutschland. Sycamore’s managing director praised Boots’s management team and employees for their dedication and foresaw a bright future for the company as it transitions under new ownership.