Tesco mulling GBP 10bn listing of Asian businesses
Tesco, the FTSE-100 supermarket group, is thinking about spinning off and listing its Asian businesses, The Daily Telegraph reported. A report on The Daily Telegraph website said senior City sources believe that Tesco chief executive Dave Lewis is thinking about listing the Asian operations as it would raise a large sum while retaining most of the company’s international businesses.
Analysts cited by the report estimated a valuation in the range of GBP 8bn (EUR 10.16bn) to GB 10bn for Tesco’s Asian businesses, which include supermarkets in South Korea, Thailand and Malaysia.
Tesco is considering options including substantial asset disposals in the wake of several profit warnings and its GBP 250m overstatement of profits, the article said.
Lewis is unlikely to give an update on his turnaround strategy for Tesco’s UK business or to confirm any plans to sell assets, the item continued.
As previously reported, Tesco is also thinking about selling Dunnhumby, the data analytics business that operates the supermarket group’s Clubcard loyalty scheme. Up to four private equity groups may have sounded out Tesco in recent weeks regarding Dunnhumby, the report said.
Tesco refused to comment, according to the report.
Source Daily Telegraph