Filing Flows › McKesson (MCK) › Takeover & LBO
Is McKesson (MCK) a takeover target?
A leveraged buyout does not work for McKesson on its latest figures: its EBITDA margin is only 1.8% ($7.5B on revenue of $418.8B), too thin to carry buyout debt. Historically 2.0% of companies with its figures were bought within a year (0.4× the average).
Why a leveraged buyout does not fit
McKesson kept 1.8% of its revenue as EBITDA over the last 12 months ($7.5B on $418.8B). A margin that thin cannot carry the debt a leveraged buyout needs — a small dip in sales would leave nothing for interest — so the model gives no buyout price.
What a takeover could cost
Takeovers in its sector paid a median premium of 35% over the share price before the deal (the middle half 22% to 45%), according to the 15 merger proxies and tender-offer responses on EDGAR that state a premium. At the median, McKesson would cost about $1,447.20 a share, $168.9B for all its shares.
| Premium | % | Price a share | All shares |
|---|---|---|---|
| Low end (a quarter of deals paid less) | 22% | $1,307.84 | $152.6B |
| Median | 35% | $1,447.20 | $168.9B |
| High end (a quarter paid more) | 45% | $1,554.40 | $181.4B |
The odds, from history
Historically 2.0% of companies with its figures were bought within a year (0.4× the average). Its figures put it in decile 1 of 10 (10 = the most likely to be bought). The odds come from a model of every merger proxy, tender-offer response and going-private statement filed on EDGAR since 2011, set against each company's size, margins, debt, cash flow and growth the year before.
McKesson's latest quarter
McKesson, Q2 FY27: revenue $111.0B (+8% year over year), operating margin 1.4%, net earnings $1.2B, operating cash flow $3.1B. The chart follows the revenue to costs, profit and cash.
Questions
Is McKesson being acquired?
No headline, 8-K or 13D about a sale is on file in the last year.
Could private equity buy McKesson?
A leveraged buyout does not work for McKesson on its latest figures: its EBITDA margin is only 1.8% ($7.5B on revenue of $418.8B), too thin to carry buyout debt. A margin that thin leaves almost nothing to pay interest with, so buyout debt does not fit.
What would a takeover of McKesson cost?
Takeovers in its sector paid a median premium of 35% over the share price before the deal (the middle half 22% to 45%), according to the 15 merger proxies and tender-offer responses on EDGAR that state a premium. At the median, McKesson would cost about $1,447.20 a share, $168.9B for all its shares.
Updated Nov 8, 2026. Read automatically from SEC filings and public data; errors are possible. Not investment advice.