KKR & Co. L.P. and Walgreens Boots Alliance, Inc. are one step closer to purchasing PharMerica Corp.

The European Union approved the $1.4 billion acquisition on Oct. 5, 2017. But KKR and Walgreens still have to get approval from China and Bosnia before the deal can be completed.

KKR first announced plans to purchase PharMerica on Aug. 2, 2017, with Walgreens as a minority investor. The deal received U.S. approval just a few weeks later on Aug. 25, 2017.

Some outsiders view the acquisition as risky, since the deal involves the assumption of PharMerica’s debt. But this type of deal is quite common in the world of private equity.

KKR, founded in 1976 by Henry Kravis, Jerome Kohlberg, and George Roberts, quickly established a name for itself as one of the most successful buyout firms of the 1980s. Clearing domestic/foreign hurdles and taking on debt is what the company does best.

But the deal will also have to pass a shareholder vote before it can be finalized. The vote, scheduled for November 9, 2017, is expected to succeed.

CNBC estimates that the deal will close early next year. PharMerica’s shareholders will be paid $29.25 per share if everything goes according to plan.

“This transaction will deliver immediate and compelling value to all PharMerica shareholders, as well as substantial benefits to our clients and employees,” said Gregory S. Weishar, CEO of PharMerica. “With the support of KKR and a strategic partner in Walgreens Boots Alliance, PharMerica will have additional resources and expertise to advance and grow the business.”

Jim Momtazee, Head of KKR’s Health Care Investment team, called PharMerica an “innovative leader in the institutional pharmacy industry” and said that both KKR and Walgreens look forward to growing the business.

Alex Gourlay, co-COO of Walgreens Boots Alliance, agreed with Momtazee’s sentiment, adding that the acquisition will “support quality, affordable patient care.”

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A NYC-based freelancer, Daniel enjoys diving into articles on healthcare policy, politics, finance, and foreign policy.