Morrisons to sell 337 petrol forecourts to MFG for £2.5bn
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(Sharecast News) - Morrisons (MRW) said on Tuesday that it has agreed to sell 337 petrol forecourts to Motor Fuel Group for £2.5bn.
MFG will also buy 400 associated sites across the UK for ultra-rapid electric vehicle charging development.
As part of the deal, Morrisons will take a minority stake of around 20% in MFG, and enter into commercial and supply agreements with the group.
Morrisons said the transaction will create "significant" synergies across fuel retail and ancillary services, as well as scale advantages and growth opportunities for both businesses.
The supermarket chain said proceeds from the sale will fund further investment in the grocery and food making businesses, as well as "significantly strengthening" the business's capital structure.
Morrisons chief executive Rami Baitieh said: "As the needs of the customer continue to evolve, Morrisons and MFG's partnership will see us combine our respective expertise and resources to deliver the best value for customers at the pump, in our convenience stores and in our supermarkets.
"It means Morrisons customers will continue to see a competitive and attractive forecourt offering, including expanded access to EV charging, while also benefitting from greater focus on investment in Morrisons' core food business. We are delighted to have such a strong partner in MFG and look forward to the opportunities a combined MFG and Morrisons forecourt offering will provide."
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