19th Mar 2019 08:42
LONDON (Alliance News) - FTSE 100 supermarket J Sainsbury PLC and Walmart Inc-owned Asda will provide a more specific commitment to cut prices in a bid to save their proposed merger, the Financial Times reported on Monday.
Citing people briefed on the process, the newspaper said the two grocers will publicly detail a commitment to annual savings for shoppers in a response to preliminary findings by the UK anti-monopoly regulator, the Competition & Markets Authority. This was released in mid-February and had left little hope that the merger would go forward.
The CMA will publish its final decision on the merger on April 30.
The two grocers will recalculate a key indicator of consumer harm, using what they consider to be more realistic criteria, and submit a counterproposal for store disposals, the FT said.
Furthermore, the new submissions will detail evidence of alleged mathematical errors in the CMA's analysis.
https://www.ft.com/content/24ca0d7e-4654-11e9-b168-96a37d002cd3
Sainsbury's shares were trading up 1.1% at 237.50 pence each early Tuesday morning.
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