Morrisons has expanded its convenience estate with the acquisition of 38 stores in the Channel Islands from SandpiperCI.
All of the stores are currently supplied by Morrisons and 19 already operate under its Daily fascia. The transaction includes six fuel forecourts.
The stores are located on the islands of Jersey, Guernsey and Alderney, generating sales of £124.5m over the last year.
Morrisons has had a relationship with SandpiperCI since 2018, when the two companies signed a long-term franchise and wholesale supply agreement.
Under the terms of the transaction, around 520 SandpiperCI store and operations staff will transfer to Morrisons. The business will be managed by Joseph Sutton, Morrisons Convenience, Online and Wholesale Director and his team, which includes Miles Foster, the Convenience Operations Director.
“We have had a solid and successful supply and franchise partnership with SandpiperCI and we have a strong relationship with the business. I look forward to welcoming 520 more colleagues into the Morrisons family, together with 38 popular and well-located convenience stores,” said Rami Baitiéh, Chief Executive of Morrisons.
“Our convenience business is now well set and growing rapidly. The addition of a further 38 stores will bring us another opportunity for growth and a strong position in the important Channel Islands’ convenience market.”
Morrisons now has around 1,600 convenience stores, of which 600 are operated under franchise agreements.
NAM Implications:
- Morrisons should benefit from six years close relationship with the 38 stores…
- …besides giving more intimate coverage of the Channel Islands convenience sector.
- Also, despite debt issues…
- …a strong ‘business as usual’ signal to rivals.
