PharMerica To Be Acquired By KKR In Approximately $1.4 Bln Deal - Quick Facts

(RTTNews) - PharMerica Corp. (PMC), a provider of institutional pharmacy, specialty infusion and hospital pharmacy management services, said it has entered into a definitive merger agreement pursuant to which a newly formed company controlled by KKR & Co. LP (KKR), with Walgreens Boots Alliance, Inc. (WBA) as a minority investor, will acquire PharMerica.

The all-cash transaction is valued at approximately $1.4 billion including the assumption or repayment of debt. Upon completion of the transaction, PharMerica will become a private company.

Under the terms of the agreement, PharMerica shareholders will receive $29.25 in cash for each share of PharMerica common stock upon closing of the proposed transaction. The price represents a premium of about 17 percent to PharMerica's closing share price as of the last trading day prior to announcement.

The acquisition agreement was unanimously approved by the Board of Directors of PharMerica.

KKR is making the investment primarily through its Americas XII Fund. Walgreens Boots Alliance intends to account for its minority ownership interest in PharMerica as an equity method investment.

The transaction is subject to PharMerica shareholder approval. PharMerica expects to complete the transaction by early 2018.