Retail news round-up: Tesco-Booker deal 'risks convenience stores', Jaeger to be put up for administration and Sports Direct increases stake in Debenhams
Tesco-Booker deal 'causes risk to convenience stores'
Tesco might be forced to close its convenience stores amid concerns over the deal with Booker, The Telegraph reported.
Sources have said that the deal gives power to one supplier, which could backlash against Tesco.
Both companies have dismissed competition concerns as Booker operates a franchise model for its Londis, Premier, Budgens and Happy Shopper retail chains, meaning it will not be adding “more stores” through the Tesco tie-up.
Tesco has unveiled a three-year deal with P&H that will help the grocery wholesaler’s efforts to stabilise its financial position.
Jaeger to be put into administration
Jaeger is set to be pushed into administration, risking 25 stores and 700 jobs, This Is Money reported.
Edinburgh Woollen Mill is rumoured to be poised to take control of the retail chain by buying its debt from Better Capital.
A Jaeger spokesman said: "Jaeger has made good operational progress and is performing more strongly. The business now needs scale and further resources to grow; this is the right time for a new strategic investor."
Sports Direct increases stake in Debenhams
Sports Direct has increased its stake in Debenhams from 13.38% to 16.09%, the BBC reported.
The sports firm has built its position through share options and contracts for differences.
Sharps for sale at £80m
Sharps is to be put up for sale at £80m, The Telegraph reported.
The bedroom furniture retailer is working on the sale with advisers at Spayne Lindsay.