As Tesco embarks on £3.7bn merger with wholesaler Booker Group, will other UK supermarkets follow suit? January 27, 2017 Tesco’s £3.7bn proposed merger with Booker, the UK’s largest food wholesaler, represents a change of commercial strategy for the supermarket giant. Following the firm’s decision to retract from some parts of their international operations, including the South Korean and Turkish arms of the business, this merger is another indication that Tesco is more comfortable operating [...]
Tesco unveils £3.7bn merger with Budgens and Londis owner Booker January 27, 2017 Supermarket Tesco has reached a deal to merge with wholesaler Booker, owner of Budgens and Londis, with both firms stating an ambition to create the UK's leading food company. The groups will combine in a share and cash deal worth £3.7bn, after discussing a combination for almost a year. They said today that there are [...]
Behind the deal: These are the bankers and advisers working on the £3.7bn Tesco-Booker tie-up January 27, 2017 Tesco’s £3.7bn deal for wholesaler Booker is an early boost for the UK’s 2017 M&A market, following a rather subdued 2016. Below are details of the bankers and advisers behind the deal. Tesco advisers It’s increasingly difficult to find a big UK deal without a boutique investment bank at its centre. And this £3.7bn merger proved [...]
Here’s what analysts are saying about the Tesco-Booker merger January 27, 2017 Tesco's share price has jumped seven per cent at the open after announcing a £3.7bn merger with wholesaler Booker Group. Booker Group's share price jumped 14 per cent. Read more: French Connection boss signals two non-executive directors will step down Analysts are calling the merger between the two food giant a "game changer". However, the [...]
Louis Vuitton and Moet & Chandon owner reveals 2016 was a vintage year January 26, 2017 While last year might not have been everyone's favourite 12 months, luxury brand owner LVMH revealed "an excellent performance in 2016", posting solid revenue and cashflow growth. The owner of a variety of posh labels including Louis Vuitton and Christian Dior said organic revenue growth during 2016 was six per cent with sales totalling €37.6bn (£31.9m). Read [...]
French Connection boss signals two non-executive directors will step down January 26, 2017 The boss of French Connection has signalled two non-executive directors will be stepping down from the board after an intervention by a group of activist investors. Three investors wrote to French Connection's chief executive and chairman Stephen Marks last Thursday to demand non-executive directors Dean Murray and Claire Kent leave the board after presiding over "a tremendous decline [...]
Analysts react to Unilever’s drop in revenues January 26, 2017 Unilever's shares are set for their worst day of trading in the last five years, having fallen four per cent this morning. Investors are reacting to the food manufacturing giant's fourth-quarter and final year results, which missed expectations. Revenue fell one per cent for 2016, and Unilever also warned that it would be facing "tough market conditions" [...]
Shares in Diageo are up as the global drinks maker beats forecasts January 26, 2017 Diageo, the maker of Smirnoff, Guinness and Johnnie Walker, beat expectations for the six months ended 31 December after years of stagnant growth. The figures The drinks giant said reported net sales were up 14.5 per cent at £6.4bn, while operating profit rose 28 per cent at £2.1bn, reflecting organic growth and favourable exchange rates. Diageo experienced organic growth across all [...]
Whitbread’s restaurant sales disappoint investors January 26, 2017 Hotel and coffee shop owner Whitbread – known for its Costa Coffee and Premier Inn brands – has posted some strong sales growth this morning, but its restaurant business has disappointed the market. Whitbread's share price was down four per cent at time of writing. The figures Over the 13 weeks to 1 December, Whitbread's like-for-like [...]
Unilever braced for tough market conditions to continue in 2017 as it reveals subdued sales January 26, 2017 Unilever is keen to remind everyone it is – and has been for a while now – battling challenging market conditions. The food manufacturing giant has reported lower than expected sales in the fourth quarter and is braced for these "tough market conditions" to continue, at least for the start of 2017. Brazil's economic slowdown [...]