UK: CD&R to acquire Morrisons for £7 billion

US private equity firm Clayton Dubilier & Rice (CD&R) has won an auction to acquire the Morrisons  supermarket chain with an offer of £7 billion ($9.4 billion), outbidding Fortress Investment Group, according to an Insider Media report.

CD&R reportedly bid £2.87 in cash for each Morrison share, beating the £2.86 offer made by Fortress Investment Group.

Morrisons has a workforce of about 120,000 staff in the UK, including across its 497 supermarkets, as well as factories, farms, and a company-owned fishing trawler.

Morrisons chairman Andrew Higginson said: “CD&R have good retail experience, a strong record of developing and growing the businesses in which they invest, and they share our vision and ambition for Morrisons. We remain confident that CD&R will be a responsible, thoughtful and careful owner of an important British grocery business”.

Morrisons’ shareholders will vote on the final offer on 19th October.

Source: Insider Media