The Big Take
A $1.3 Trillion Debt-Fueled Boom in Deals Faces a Grim New Reality
Companies that relied on cheap credit to bankroll takeover deals are struggling to keep promises and manage borrowing costs
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When a Walgreens Boots Alliance Inc. affiliate bought Summit Health-CityMD around a year ago, the pharmacy group’s management hailed the deal as transformational for its push into primary health care.
Twelve months later, the $8.9 billion takeover has struggled to deliver cost synergies and Walgreens’s creditworthiness has just been cut to junk for the first time since its formation.