NEWS28 September 2015

Tesco looks to sell central and east European business as dunnhumby deal founders

Europe M&A UK

UK — Tesco is reportedly close to calling off the sale of dunnhumby as WPP, the last serious bidder, is struggling to agree a price.

The sale has foundered since it was launched earlier this year following new Tesco CEO Dave Lewis’ announcement of a dramatic overhaul to the business.

However, according to a story in the Sunday Times, Tesco is ready to go ahead with the £3bn sale of its central and east European operations, having held preliminary talks with private equity houses over the sale of its Polish, Hungarian, Czech and Slovakian business.

The value of dunnhumby, the company behind Clubcard, had previously been estimated at more than £2bn, but the business is now reportedly worth only £500m-£700m.