Amazon rumoured to have engaged advisers for Ocado bid
Amazon (Nasdaq:AMZN), the Seattle, Washington-headquartered internet retailer, is rumoured to have mandated advisers to work on a takeover approach to the UK-based grocery-delivery company Ocado (LON:OCDO), The Daily Mail reported. An unidentified market source was quoted describing Ocado as a “perfect fit” for Amazon.
Amazon is keen to provide a full UK-wide grocery-delivery offering and acquiring Ocado at its current share price would be less expensive than trying to expand its own limited-range Pantry delivery service, the report noted. Ocado’s shares ended the day’s trading at 242.5p on 18 January, giving the business a market capitalisation of GBP 1.5bn (USD 2.1bn).
Neither Amazon nor Ocado wished to make any comment, the item reported.
Daily Mail