Retail news round-up on October 27, 2014: Office owners explore sale or float; Morrisons hikes prices on several products; Tesco boss admits exec pay under review.
Office owners tap advisers for potential sale of business
Office is accelerating its plans to expand across Europe as its owners examine a sale or float of the firm, The Telegraph reported. Private equity firm Silverfleet is understood to be looking at selling the shoe retailer and has appointed bankers at JP Morgan as advisers. Retail sources believe Office could now be valued as much as £300m. The company is close to opening another outlet in Germany.
Morrisons goes back on price hike pledge
Morrisons has gone back on a promise not to hike prices of several products, The Times reported. Among the everyday items included were battered cod, whose price for a packet of four fillets has jumped from £2.50 to £3 since the pledge was made. A bag of five golden delicious apples has risen from £1.29 to £1.69. A spokesman for the supermarket chain claimed that the increases reflected ‘commodity inflation’, and not an attempt to boost margins.
Meanwhile, the supermarket retailer has launched the latest attack in the escalating supermarket price war with its new ‘Match & More’ card. The scheme aims to match the prices of the German discount chains Aldi and Lidl.
Tesco boss admits senior executive bonuses under review
Tesco’s new chief executive Dave Lewis told the Mail on Sunday that his bonus is under review as he tries to turn around the beleaguered grocer. Pay packages for senior executives are under review as part of a shakeup of the business.