Sycamore Partners has lined up several prominent Wall Street investment banks to market a $4.25 billion debt offering that will help fund its proposed acquisition of Walgreens Boots Alliance (WBA), Bloomberg reported Friday, citing people familiar with the matter.

The group of lenders includes Goldman Sachs (GS), Citigroup (C), JPMorgan Chase (JPM), Wells Fargo (WFC), Deutsche Bank (DB), and UBS Group (UBS), according to the report. The banks reportedly held a meeting earlier this month with Sycamore to discuss the potential sale, which could come to market in June or July.

Sycamore disclosed plans in March to acquire the retail pharmacy chain in a deal valued at up to $23.7 billion. Walgreens shareholders are set to receive $11.45 per share in cash at closing, plus up to an additional $3 per share depending on the future monetization of Walgreens' stakes in VillageMD, Summit Health, and CityMD.

The going-private transaction is expected to close by the end of 2025, subject to regulatory and shareholder approvals and other conditions.

Spokespersons for Wells Fargo and Citigroup declined to comment when contacted by MT Newswires on Friday. Sycamore and the other banks did not immediately respond to messages seeking further information.

(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)

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