Tesco to merge with Booker Group for £3.7b

27 January 2017 by
Tesco to merge with Booker Group for £3.7b

A new food giant will be created following the announcement that Tesco supermarket is to merge with the UK's largest food wholesale business, the Booker Group, in a £3.7b deal.

The two parties said the combined group will "bring benefits" for consumers, independent retailers, caterers, small businesses, suppliers and colleagues, in addition to "delivering significant value" to shareholders.

Dave Lewis, chief executive of Tesco, said that what he described as a "merger with Booker" will further enhance Tesco's growth prospects by creating the "UK's leading food business", with combined expertise in retail, wholesale, supply chain and digital.

Charles Wilson, chief executive of Booker, added: "Booker is committed to improving choice, prices and service for the independent retailers, caterers and small businesses that we are proud to serve. We believe that joining forces with Tesco offers the potential to bring major benefits to end consumers, our customers, suppliers, colleagues and shareholders.

Under the terms of the merger, Booker shareholders of the combined group will own around 16% of the combined group.

Wilson will join the combined group's board.

Booker Group report solid last quarter for 2016 >>

- Is it time for a change? See all the current retail vacancies available with The Caterer Jobs >>

Latest video from The Caterer

The Caterer Breakfast Briefing Email

Start the working day with The Caterer’s free breakfast briefing email

Sign Up and manage your preferences below

Check mark icon
Thank you

You have successfully signed up for the Caterer Breakfast Briefing Email and will hear from us soon!

Jacobs Media is honoured to be the recipient of the 2020 Queen's Award for Enterprise.

The highest official awards for UK businesses since being established by royal warrant in 1965. Read more.


Ad Blocker detected

We have noticed you are using an adblocker and – although we support freedom of choice – we would like to ask you to enable ads on our site. They are an important revenue source which supports free access of our website's content, especially during the COVID-19 crisis.

trade tracker pixel tracking