(Reuters) -Walgreens on Thursday named retail veteran Mike Motz as its chief executive officer after the U.S. pharmacy chain was taken private by Sycamore Partners, marking a fresh chapter for the company that has been struggling to keep pace with rivals. The management shake-up came on the heels of Sycamore’s roughly $10 billion acquisition of […]
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Walgreens names retail veteran Mike Motz as CEO after Sycamore takes chain private
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(Reuters) -Walgreens on Thursday named retail veteran Mike Motz as its chief executive officer after the U.S. pharmacy chain was taken private by Sycamore Partners, marking a fresh chapter for the company that has been struggling to keep pace with rivals.
The management shake-up came on the heels of Sycamore’s roughly $10 billion acquisition of Walgreens Boots Alliance, completed earlier in the day.
Motz, previously the CEO of office supplies chain Staples’ U.S. retail business, will succeed Tim Wentworth and steer the ailing pharmacy operator as it shifts its focus back on core retail and pharmacy operations. He had also worked as the president of Canadian pharmacy chain Shoppers Drug Mart.
Walgreens has struggled to expand beyond its pharmacy business and diversify into broader healthcare services, even as budget-conscious consumers increasingly turned to lower-cost options from Amazon and Walmart for their prescriptions and toiletries.
Wentworth, who took the helm in 2023, spearheaded a turnaround at the company through cost cuts, including the removal of multiple mid-level executives and store closures. Wentworth will continue to serve as a director, Walgreens said.
The company also appointed John Lederer, a former director of Walgreens Boots Alliance and a senior adviser to Sycamore, as executive chairman.
(Reporting by Mrinalika Roy and Mariam Sunny in Bengaluru; Editing by Shilpi Majumdar)