Tesco £3.2bn merger with Booker – Feb 17

We’ve just reacted quickly to the news that Britain’s biggest supermarket, Tesco is planning to merge with the country’s largest cash and carry wholesale supplier, Booker for a whopping £3.2bn.

Our client LCP Consulting, that advises many of the top ten retailers and leading food manufacturers in the UK, was perfectly placed to comment on the deal. Professor Alan Braithwaite’s comments were with over 60 titles within an hour of the deal news breaking.

This approach led to pieces in the Daily Mail, CNBC, The Independent, FMCG Magazine, Talking Retail, Materials Handling World, Retail Times, FMCG News, Food Manufacture, Internet Retailing, SHD Logistics, Handling & Storage Solutions, and Supply Management.

Professor Braithwaite highlighted that the deal is a big win for Tesco, however, he did point out that The Competition Commission may have something to say about it, by saying:

“Booker own or control Londis, Premier and Budgens retail chains/fascias – so there may well be a Competition Commission complaint based on Tesco’s high convenience store and market share already. This is contrary to the published statement by Tesco. However, the Competition Commission has historically struggled with the market place segmentation in food and grocery – so it is difficult to anticipate any ruling.”

Hitting the Headlines

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compass Tesco £3.2bn merger with Booker – Feb 17