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Fly News Breaks for July 21, 2015
WBA, ESRX
Jul 21, 2015 | 12:39 EDT
Citi analyzed several scenarios to see how accretive a potential Walgreens Boots Alliance (WBA) acquisition of Express Scripts (ESRX) could be to the company. Under one funding scenario, Walgreens Boots Alliance could issue 100% debt and pay a 135.5% premium to Express Scripts' current market cap for a deal to remain breakeven on an EPS basis. In another scenario, Walgreens Boots Alliance could issue 50% debt and 50% new stock, and pay a 68.1% premium to Express Scripts' current market cap for a deal to remain breakeven on an EPS basis.