Britain’s largest wholesaler, Booker Group plc has announced that it is buying the Budgens and Londis chains to expand its business. The deal is thought to be worth £40 million to Irish wholesaler Musgrave Group, which owns it at the moment.
The wholesaler, which already owns Premier and Family Shopper brands is going up against the UK’s four biggest supermarkets as they open their own local stores to compete with the price wars.
Charles Wilson, chief executive of Booker said: "Overall it will help independent retailers prosper."
Booker also revealed a 17% increase in full-year operating profit, however they expect the earnings in the first year of the takeover to be neutral.
Booker’s shares rose by 9.9% at the news.
