Lloyds and AAH sold to Aurelius: McKesson UK is... - Thyroid UK

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Lloyds and AAH sold to Aurelius

helvella profile image
helvellaAdministratorThyroid UK
9 Replies

McKesson UK is selling its UK businesses – including 1,325 Lloydspharmacies across the UK, the wholesaler AAH, app Lloydsdirect, Lloydspharmacy Online Doctor, travel health service MASTA and its John Bell & Croyden branch in London – to private equity firm Aurelius Group, with the deal to close in the fourth quarter of fiscal 2022, until when it will “continue to operate” its UK portfolio.

No idea what will then happen!

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helvella profile image
helvella
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Mlinde profile image
Mlinde

Closures

helvella profile image
helvellaAdministratorThyroid UK in reply to Mlinde

There were some requirements imposed when Lloyds took on Sainsbury pharmacies.

And we need to look elsewhere to see the full closure picture. Having already closed a considerable number of sites, Boots are now reported to be removing pharmacy provisions at another 22 locations.

Mlinde profile image
Mlinde in reply to helvella

Just more asset-stripping

SmallBlueThing profile image
SmallBlueThing in reply to Mlinde

Wikipedia says they are "often referred to as the German Berkshire Hathaway", so I don't think that would be the case.

Mlinde profile image
Mlinde in reply to SmallBlueThing

Do you believe everything Wikipedia tells you?

SmallBlueThing profile image
SmallBlueThing in reply to Mlinde

The bits I contribute, certainly ;-)

helvella profile image
helvellaAdministratorThyroid UK in reply to SmallBlueThing

Aurelius themselves say:

AURELIUS agrees to acquire McKesson UK, the UK’s leading fully integrated healthcare provider, across retail, wholesale, homecare and digital platforms for an enterprise value of GBP 477m

Represents the largest transaction undertaken by AURELIUS since being established in 2005 and only a few months since the launch of the AURELIUS European Opportunities Fund IV

McKesson UK is focused on playing a key role in the UK healthcare market including in the response to the COVID-19 pandemic

AURELIUS is committed to supporting McKesson UK with the delivery of its growth initiatives and its next stage of development

Co-investment structure together with AURELIUS Equity Opportunities SE & Co. KGaA is already paying off

Further enhances AURELIUS’ renowned track record in the industry as carve-out specialist and trusted acquirer

aureliusinvest.co.uk/news/i...

I leave the interpretation of that to any readers. :-)

Fifteen profile image
Fifteen in reply to SmallBlueThing

In my experience through business contacts, Private Equity firms load their acquisitions with debt, charge them high management fees, put in management teams who 'understand' their business model, monitor the 'numbers' incredibly closely, then sell off the acquisitions at the 'right' time. Because of special provisions in law, they pay very little tax. The people I know - or more correctly, knew - are all billionaires and move in an exclusive international clique with other billionaires.

kissemiss profile image
kissemiss

Helvella thank you so much for the wow information and links.

I wonder what implication that is going to have....... if you are a loyal costumer of Lloyds pharmacy.................the only really accommodating chemist in this country.

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