Morrisons close to winning control of McColl’s amid last-ditch bid
A deadline was set for 18:00 BST on Sunday for final bids, with EG Group thought well positioned for the purchase until Morrisons final hour bid
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Morrisons is thought to have won control of embattled retailer McColl’s after surpassing EG Group in a last ditch effort, according to Sky News.
A deadline was set for 18:00 BST on Sunday for final bids, with EG Group thought well positioned for the purchase until Morrisons final hour bid. EG
According to the outlet,the supermarket giant saw off eleventh-hour competition from EG Group, owned by the billionaire Issa brothers, who reportedly met the bid with a revised proposal of their own.
Morrisons is understood to be willing to pay McColl’s lenders in full, straightaway, matching a similar pledge thought to have been made by EG Group. It is also prepared to take on McColl’s pension commitments.
It comes after McColl’s collapsed into administration in a move that placed 16,000 jobs at risk, after lenders failed to extend its banking agreements.
The retailer said it was “regrettably left with no choice” other than to appoint PwC as administrators, with the expectation that they intend to sell the business to a third-party buyer “as soon as possible”.
An announcement of the new owners is expected to be made by PwC later today (9 May).
