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DEERFIELD, Ill. — Walgreens Boots Alliance may divest its stake in clinic operator VillageMD, WBA said Wednesday.
“The company is currently evaluating a variety of options with respect to VillageMD in light of ongoing investments by the company in VillageMD’s businesses and VillageMD’s substantial ongoing and expected future cash requirements,” WBA said in a filing with the Securities and Exchange Commission. “These options could include a sale of all or part of the VillageMD businesses, possible restructuring options and other strategic opportunities.”
The company owned just over half of VillageMD at the beginning of last month, and has been closing or selling clinics in several states.
In a statement following the filing, WBA said it has been “taking action to simplify and focus our business on our core foundation of retail pharmacy services. Grounded in our shared commitment to patient care, WBA is fully supportive of VillageMD as we work collaboratively with VillageMD leadership toward a solution with no changes to day-to-day operations for doctors or practice operations.”
WBA CEO Tim Wentworth said in June that WBA is working with VillageMD’s management “toward an endpoint.”
WBA spent more than $6 billion under former chief executive Roz Brewer to take a majority stake in VillageMD.
VillageMD said in a statement it was “exploring many options” with investors. It said it continued to work with Walgreens “in lockstep and we will identify the best path forward.”
