US investors attempt purchase of UK supermarket

It’s no secret that while many businesses have been struggling amidst the challenges of COVID-19 restrictions, supermarkets around the world have prospered.

With a continuing need for food delivery services to stock up on supplies, many chains initially struggled to meet demand. Larger firms found themselves better prepared and were able to fulfil the needs of local communities with much needed food, drink, household goods and much-needed medicines.

The recent success of the UK’s fourth largest supermarket chain Morrisons has now caught the eye of a private equity firm in the US. A spokesperson for the UK grocer recently confirmed that New York-based firm headquartered Clayton, Dubilier & Rice has submitted an offer unsolicited of £2.30 per share in cash for Morrisons.

However, with Morrisons shares currently surging at over 30%, its current share prices are far beyond the US firm’s offer. This has led the grocer to reject the recent proposal, commenting that the offer “significantly undervalued” its worth and potential prospects for the future. Clayton, Dubilier & Rice will now have until July 17 to raise its previous offer.

Market analysts are now speculating that the biggest supermarket chain in Britain, Tesco, currently worth £18bn, may also soon attract potential buyer.

UK consumers seeking investment advice in Chester, London and other key UK cities can rely on wealth management firms for portfolio guidance. Unlike financial advisors, wealth managers take a more comprehensive view of their clients’ economic situations, offering fresh insights and an impartial eye on potential assets.

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