9th Dec 2020 08:57
(Alliance News) - Tesco PLC on Tuesday said the conditions for the sale of its businesses in Thailand and Malaysia CP Retail Development have been satisfied, following a formal notice of approval from the Office of Trade Competition Commission in Thailand.
The UK grocer said that, combined with the approval received from the Ministry of Domestic Trade & Consumer Affairs in Malaysia in November, there are now no further conditions outstanding, and the disposal is expected to complete on or around December 18.
Chief Executive Ken Murphy said: "I would like to thank all our colleagues in Asia for their hard work and dedication to our customers over many years. They have built a very strong business. I'm confident that the agreement with CP Group will ensure that they are well setup for continued success. This sale allows us to focus on our businesses across Europe and to continue delivering for customers, make a significant contribution to our pension deficit and return value to shareholders."
Tesco previously announced that it intends to return GBP5 billion of the proceeds to shareholders via a special dividend and also will make a significant contribution of GBP2.5 billion to its pension scheme after completion.
Shares in Tesco were up 1.9% at 228.60 pence in London on Tuesday.
By Zoe Wickens; [email protected]
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