** Shares of pharmacy chain Walgreens Boots Alliance WBA.O fall 6.7% to $11.08

** The deal between private equity firm Sycamore Partners and WBA is "mostly dead", CNBC journalist David Faber commented live on air, citing sources familiar with the matter

** WBA was looking to sell itself to Sycamore Partners and had also reached out to other potential buyers, according to media outlets

** Walgreens did not immediately respond to a request for comment

** The potential deal was a "longshot given the size of the deal, financing considerations, and challenges finding a robust expected return" - Leerink Partners

** WBA beat analysts' expectations for Q1 profit earlier this month and indicated that its restructuring was taking hold

** "Keeping that momentum will be the key driver to rebuild sentiment, although we would not be surprised to see further stock volatility as deal speculation dies down," said Leerink analysts

** Up to last close, stock down ~52% over the past 12 months

(Reporting by Mariam Sunny in Bengaluru)

((Mariam.ESunny@thomsonreuters.com;))