Today we’ve had our offer to buy 100% of the shares in Nisa Retail Ltd (Nisa) recommended by the Nisa Board.
You might have seen coverage in the press about our ongoing talks with Nisa, and today’s been a big step forward in our discussions.
We want to be number one in convenience, and get closer to our customers, but the market’s tough. To grow our business we need to be agile, commercial, and innovative.
Nisa’s a well-known wholesale business that services over 3,200 retail stores, and its ownership model (member owned like us), strong community focus and heritage is a really good fit. This deal will help us reach more customers with our great product and, over time, grow our profits, helping us to keep giving back to our members and communities across the UK.
Co-op and Nisa have both achieved so much on their own to support local communities, but together I believe we can go from strength to strength.
Exciting times but we’re not there yet
Although Nisa’s Board is recommending the offer to its members today, it’s no guarantee the deal will go through. For our offer to be accepted, a majority of Nisa members, representing over 75% of the shares in terms of value, will have to give their approval in a vote due to be held in mid-November.
In the meantime a number of the Food Executive will be out on the road talking to the Nisa members, explaining how this deal really is an exciting opportunity for both Nisa and ourselves, as well as the value we bring as the Co-op. If the deal is approved by the Nisa members, a CMA (Competition and Markets Authority) process will follow which will likely take us into spring 2018 before completion.
I’m sure you’ll agree this is an incredibly exciting development. We’ll share more updates with you as soon as we can. In the meantime, you can read the press release here.
Chief Executive, Co-op Food