// The Issa brothers, which own Asda, could walk away from Boots sale following a disagreement over price
// If the Issas exit the sale process it would leave Indian giant Reliance, which has teamed up with private equity firm Apollo, as frontrunners to buy Boots
Asda owner, the Issa brothers, are close to walking away from buying Boots as they are not prepared to meet the asking price for the health and beauty retailer.
The Issas, who have teamed up with TDR for the bid, is understood to have been asked to increase their offer for Boots by owner Walgreens but is not prepared to do so, according to Bloomberg.
If the Issas do walk away from the Boots auction, this would leave the consortium of Indian giant Reliance Industries and private equity firm Apollo as the frontrunners to buy Boots.
READ MORE: Why won’t Boots bidders meet Walgreens’ £7 billion price tag?
Walgreens is understood to have a £7billion price tag for Boots, however, it is thought bidders are only prepared to pay around £5billion for the retailer, which has 2,200 stores.
The Issas and TDR had been attracted by Boots as it would improve Asda’s in-store pharmacy business and give the supermarket an opportunity to boost its health and beauty offer.
Meanwhile, if Reliance and Apollo is successful, they plan to expand Boots in India.
It is thought that Sycamore Partners, which last week dropped out of the Ted Baker sale, is also in the running to buy Boots.
Click here to sign up to Retail Gazette‘s free daily email newsletter
