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Apollo in talks with the fortress over Morrisons deal

Apollo Global Management is in talks to work with the Fortress Investment Group on a recommended offer from Wm Morrison, the UK’s fourth-largest supermarket chain.

This month, three private investment groups led by SoftBank-owned fortresses signed a £ 9.5bn deal to buy a supermarket chain. Apollo said Morrisons was also considering, raising the possibility of a supermarket bidding war.

But on Tuesday, Apollo said it was no longer considering its own offer and was in talks to join an investment group led by the fortress instead.

Fortress-led bids value Morrisons’ capital at £ 6.3bn before including £ 3.2bn in net debt.

“Apollo is aware of the fortress’s intent regarding the Morrisons project and all its stakeholders,” the statement said. “If these arguments lead to any deal, Apollo will fully support the fortress’s stated intentions regarding Morrisons.”

Based on the terms and conditions revealed on July 4, the Fortress, Canadian pension fund CPPIB, and Koch Industries units will support a 2p special dividend to buy grocery stores and per share. Pay 252p.

The deal closed two weeks after the Bradford-based group announced that it had rejected a one-sided 230p-a-share approach from private equity group Clayton, Duville & Rice.

Apollo in talks with the fortress over Morrisons deal

Source link Apollo in talks with the fortress over Morrisons deal

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