UK food wholesaler Booker has entered into an
agreement to buy Metro Group’s UK wholesale
business Makro UK for a total of £139.7
million. Acquiring its rival will enable Booker to improve
choice, prices and service for all customers and will allow the
combined business to provide a wider range of food and non-food
products via the internet, delivery and cash and carry. The
proposed transaction includes Makro UK’s network of 30
purpose-built sites which serve more than 1 million customers,
predominantly small and medium-sized enterprises-a customer base
that complements Booker’s focus on catering and retail customers.
Makro has struggled in the UK in recent years, posting losses of
£63.2 million. Commenting on the proposed deal, Olaf Koch
chairman of the management board of Metro Group said he believed
the company has “found the right buyer for our challenging
UK business”. The acquisition will also allow Metro Group
to “further concentrate on countries within our strategic
focus”.
Some 20 jobs are under threat at the Artigiano
warehouse on the Isle of Wight. Artigiano is owned by
Scotts & Co, which also operates Scotts
of Stow and Viva. According to local
paper, the County Press, a 30-day consultation had begun
with staff to preserve as many jobs as possible.
After seeing its retail division-supplying environmentally
friendly consumer products-grow sales by 23 per cent to £2.7
million, recycling containers specialist
Straight says it will further build on its
online business in 2012. The division posted underlying profit of
£158,000 in the year to 31st December 2011, and says it
intend to further develop this lucrative part of the business.
Overall, sales at Straight dipped 8.8 per cent to £28
million, while underlying operating profits slid from £2
million in 2010 to £200,000 last year.
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