Morrisons in supermarket sell off

25th October 2022 |

Morrisons plans to sell a portfolio of five stores to boost its balance sheet in the current uncertain economic conditions.

The supermarket giant’s owner Clayton Dubilier and Rice (CD&R) is reportedly seeking a sale and lease back deal for the stores. The move is considered to be the first of its kind in Morrisons 123-year history.

According to The Sunday Times, property advisor BNP Paribas, is seeking buyers for the stores, which come with 20-year leases and rental uplifts linked to inflation. CD&R is seeking circa £150m for the portfolio.

CD&R acquired the grocer in a highly-leveraged £7bn deal last year. The deal was approved by the Competition and Markets Authority (CMA) in June.

The owner’s plans follow on from a separate proposed sale and lease back of Morrisons warehouses and food manufacturing sites.

Morrisons currently own 86% of its 497 supermarkets.


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