Terra Firma ‘mulling Boots bid’

TERRA FIRMA is considering a bid for Alliance Boots, a source familiar with the matter said yesterday, confirming a report that the private equity firm had spoken to banks about an approach.

Alliance Boots rejected an initial £9.7 billion (€14.3bn) earlier in March approach from private equity firm Kohlberg Kravis Roberts and Alliance Boots executive deputy chairman Stefano Pessina.

The source, confirming a report in the Sunday Express, said that Terra Firma was sounding out investment banks, but was struggling to find one not already involved in a retail deal — as takeover activity in the sector heats up — to both advise and help it finance an eventual offer.