18th Dec 2020 08:57
(Alliance News) - Tesco PLC on Friday said it has completed the sale of its businesses in Thailand and Malaysia to CP Retail Development, as it confirmed its intention to pay a special dividend.
Back in March, the FTSE 100 grocer agreed to sell these to a combination of CP Group entities for USD10.6 billion on a cash and debt free basis. At the time, it said it expected to secure USD10.3 billion upon completion of the transaction, returning GBP5.0 billion of this to shareholders via a special dividend.
Thailand's CP Group entities comprise of CP Retail Development Co Ltd, Charoen Pokphand Holding Co Ltd, CP All Public Ltd Co and CP Merchandising Co Ltd.
On Friday, it announced the completion of the sale , noting the special dividend is expected to be paid on February 26, assuming approval at a general meeting expected to be held on February 11. It added it shortly will make a pension contribution of GBP2.5 billion to the company's pension scheme.
Shares in Tesco were trading 0.5% lower at 229.20 pence each on Friday morning in London
By Ife Taiwo; [email protected]
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