Summary
Cencora, Inc. (formerly AmerisourceBergen Corporation) announced a significant share repurchase transaction on December 8, 2022. The company entered into a Share Repurchase Agreement to buy back approximately $200 million worth of its common stock, totaling 1,211,534 shares, directly from Walgreens Boots Alliance Holdings LLC (the Selling Stockholder). This repurchase, which was completed on December 13, 2022, is part of the company's ongoing share repurchase program and the repurchased shares will be held as treasury stock. Following this repurchase and a separate sale of shares by the Selling Stockholder under Rule 144, Walgreens Boots Alliance Holdings LLC will continue to be a major shareholder, owning approximately 17% of Cencora's outstanding common stock. This transaction indicates management's confidence in the company's valuation and its commitment to returning capital to shareholders through buybacks, while also maintaining a significant stake for a key strategic partner.
Key Highlights
- 1Cencora (formerly AmerisourceBergen) entered into a material definitive agreement to repurchase its own common stock.
- 2The company agreed to repurchase 1,211,534 shares of common stock from Walgreens Boots Alliance Holdings LLC for approximately $200 million.
- 3The share repurchase was made directly from a significant stockholder and is part of the company's existing share repurchase program.
- 4The transaction was effective on December 8, 2022, with the repurchase consummating on December 13, 2022.
- 5The repurchased shares will be held in treasury.
- 6Following this transaction and a Rule 144 sale by the Selling Stockholder, Walgreens Boots Alliance Holdings LLC will own approximately 17% of Cencora's outstanding shares.