Jun 20, 2021
Clayton, Dubilier & Rice set to continue pursuit of Morrisons
US private equity firm Clayton, Dubilier & Rice is set to push ahead with its pursuit of UK supermarket chain Wm Morrison despite its initial approach being rebuffed over the weekend, people close to the transaction said. The firm approached Morrisons with a 230p-a-share offer last week, giving the UK's fourth-largest supermarket group an enterprise value of £8.7bn. Morrisons said on Saturday that it had rejected the approach, which it believes "Significantly undervalued" its business and prospects. One person with knowledge of the deliberations at Morrisons said that the management team were "Happy to continue as a plc", but recognised that every company is for sale at the right price. Silchester, Morrisons largest shareholder with a 13 per cent stake, also declined to comment on its intentions regarding the bid. Although Morrisons has navigated the pandemic well, "They have not been doing brilliantly well lately and the share price performance has been underwhelming for some time", one analyst said.
Make a complaint about Morrisons by viewing their customer service contacts.