The only bidder to make a binding offer for Boots, Britain's biggest high street chemist, is pinning its hopes on a quartet of lenders even as jitters grow in global debt markets about large-scale takeover deals.
Sky News has learnt that a consortium comprising Apollo Global Management and the Indian behemoth Reliance Industries has lined up Royal Bank of Canada, Credit Suisse, Santander, and Bank of America to help finance a large chunk of the £5bn-plus acquisition. People close to the bid, on which RBC is also advising the consortium, insisted on Wednesday that it remained on track even as doubts grow about the lenders' commitment to the deal.Financing markets have soured dramatically since Boots was put up for sale by Walgreens Boots Alliance, its New York-listed parent, several months ago.Part of the Apollo-Reliance bid would be funded by equity, the insider said, although it was unclear how much debt would be piled onto Boots in the event of a sale.