Reliance and Apollo get closer to Boots buyout: Report

In a significant development in the global market, the Mukesh Ambani-owned Reliance Industries is expected to tie up with the US buyout firm Apollo Global Management to make a firm offer to Walgreens Boots Alliance Inc. to acquire its international chemist and drugstore units, which are known as Boots. As per an ET report, the binding bid could come in as early as Friday.

This opportunity for this combination to bid rose in recent weeks after Bloomberg reported that a consortium backed by the Issa brothers planned to walk away from a possible deal. Walgreens had reportedly asked the Issa brothers to increase its offer for the drugstore chain.

The US company had put its business on sale in December last year and sought a valuation of around $8.8 billion. The bidders, however, had pegged its valuation at about £5 billion in the early non-bidding rounds.

"As a policy, we do not comment on media speculation and rumours," a RIL spokesperson told ET. "Our company evaluates various opportunities on an ongoing basis. We have made and will continue to make necessary disclosures in compliance with our obligations under Securities Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations 2015 and our agreements with the stock exchanges."

RIL and Apollo are reportedly in talks with global banks and other financial institutions to stitch funds together. However, no deals have been closed so far.