Convenience store colossus Spar has ruled itself out as a bidder for rival Londis, as the latest phase of grocery consolidation hots up.
Spar managing director Jerry Marwood also criticised Londis management for painting a gloomy picture of the independent convenience store sector and for claiming that 2,000-store Londis cannot carry on as it is.
Marwood said a tie-up with Londis would bring insufficient benefit to Spar. He said: 'We have no plans to make a formal bid. However, many Londis retailers have expressed an interest in joining us, so it could have a positive benefit for us.'
He added: 'The comments from Londis directors about the industry being beleaguered are disingenuous. It's sad coming from people that have been in the sector for some time. If you are leaving, get on with it, but do not rubbish the potential in your haste to get out.' Marwood also said that a takeover of Londis by a 'corporate entity', such as Big Food Group, would not be 'positive'.
Big Food Group chief executive Bill Grimsey wrote to Londis shareholders on January 3 to put its case forward, and was due to meet KPMG, which is reviewing strategic options for Londis.
Irish group Musgrave is also understood to have met KPMG within the past few days.
Musgrave's initial recommended£40 million bid was withdrawn after controversy over a proposed£21 million pay-out to four Londis directors.
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