Morrisons’s convenience stores are predicted to sell for between £30m and £50m, sources familiar with the situation have said.
According to The Telegraph, convenience retail veteran Mike Green is looking to rebrand the 150 Morrisons convenience stores, M Local, as ‘My Local’. It is understood that Britain’s fourth largest supermarket is in heavy talks with investment firm Greybull Capital, in an attempt to confirm the deal before it updates shareholders on its half year results on Thursday.
In his first interim results, Morrisons boss David Potts is expected to report a 4.1% fall in revenues, to £8.2bn, although city analysts believe Potts will be optimistic in his outlook and cite premature signs of recovery.
The major supermarket players are in an increasingly intense price war, and now the upmarket food and drink retailers, from Waitrose to Booths, are starting to feel the heat from Aldi and Lidl.
Waitrose is likely to report its first fall in like-for-like sales for seven years this week because the battle between the big four and the German discounters has dragged down the value of grocery sales.