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Tip of the iceberg? The deal for McColl’s sees all 16,000 staff and 1,100 shops transfer to Morrisons.
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wC, administrator for McColl’s Retail Group, has completed a sale of the business and assets of the Group to Alliance Property Holdings. Alliance is part of the Morrisons Group, the failed convenience chain’s largest supplier. McColl’s collapse has come after a financial struggle over the past
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two years as it witnessed soaring costs due to supply chain disruption, inflation, and its large debt burden. The deal for McColl’s comes less than a year after Morrisons itself was bought for £7bn by US private equity company Clayton, Dubilier & Rice. The supermarket giant has seen off competition from
Asda owners the Issa brothers and TDR Capital after its initial offer was turned down by McColl’s lenders. Prior to the deal being struck, Honor Strachan, Food & Grocery Analyst at GlobalData, warned: “During a period of intense cost pressure on UK grocers, and an unfavourable outlook for
