Sainsbury to buy Co-operative stores
UK retailer Sainsbury’s has acquired 24 stores from the Co-operative group for GBP83 million (USD123.47 million) after the Co-operative was forced to sell 133 stores after it acquired rival Somerfield. Sainsbury’s Chief Executive Justin King said: “We are delighted to acquire these stores which are an excellent addition to our store estate and we are pleased to welcome 1,400 new colleagues to Sainsbury’s.” King said the acquisition would hit the supermarket chain’s earnings marginally this year, but would be earnings enhancing in 2010/11. Conditional on approval from the Office of Fair Trading, the deal should clear in May and the conversion would take three months.
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